Sana Kisan Bikas Laghubitta's Net Profit Declined By 26.42% in Q2; Distributable Profit Hits Rs. 1.46 Arba

Sana Kisan Bikas Laghubitta Bittiya Sanstha (SKBBL) has published its second-quarter report of FY 2082/83 with a decline in Net Profit by 26.42%. As per the report, the net profit decreased to Rs. 38.09 crore as compared to Rs. 51.77 crore in the corresponding quarter of the previous year.

The company’s paid-up capital stood at Rs. 4.92 arba, while reserves and surplus stood at Rs. 4.25 arba, up by 2.64% compared to previous fiscal year. However, retained earnings declined by 20.62%, amounting to Rs. 1.46 arba compared to 1.89 arba in previous year.

Similarly, loans and advances to MFIs decreased by 9.14% to Rs. 31.16 arba, while borrowings also decreased by 3.14%, totaling Rs. 4.76 arba. Also, net interest income dropped sharply by 32.41% and totaled Rs. 19.88 crores. The company recorded a reversal of Rs. 7.08 crore compared to a impairment charges of Rs. 3.05 crores in the same period last year.

The company’s Capital Adequacy Ratio (CAR) improved to 18.83%, up from 14.66%. However, its Non-Performing Loan (NPL) ratio inched up to 4%, from 2.27% in the previous fiscal year. The cost of funds also improved significantly, declining by 26.88% to 2.72%.

The company’s Annualized Earnings Per Share (EPS) for the period stood at Rs. 15.46. The net worth per share remained steady at Rs. 216.48. The company’s Price-to-Earnings (P/E) ratio at the end of the quarter was 49.86 times, based on a market price of Rs. 711 per share.

Report:

* Figures are of the Immediate Previous Year Quarter Ending

Particulars (In Rs '000) Sana Kisan Bikas Laghubitta Bittiya Sanstha Limited
Q2 2082/83 Q2 2081/82 Difference
Paid Up Capital 4,927,170.08 4,312,621.51* 14.25%
Share Premium 18,269.71 18,269.71* 0.00%
Retained Earnings 1,467,895.53 1,849,111.82* -20.62%
Reserves 4,253,119.95 4,143,622.02* 2.64%
Borrowings 19,884,948.19 20586,038.67* -3.41%
Loans and Advances to MFI's 31,165,496.86 34,301,447.83* -9.14%
Net Interest Income 654,335.01 968,151.33 -32.41%
Personal Expenses 141,043.73 146,389.87 -3.65%
Impairment Charges/(Reversal) for loans and advances -70,816.25 30,590.54 -331.50%
Operating Profit 544,222.69 752,759.58 -27.70%
Net Profit 380,955.88 517,755.41 -26.42%
Distributable Profit/(loss) after P/L Appropriation and Regulatory Adjustments 1,467,895.53 1,541,630.19 -4.78%
Capital Adequancy(%) 18.83 14.66 28.44%
Non-Performing Loan 4.00 2.27 76.21%
Cost of Fund 2.72 3.71 -26.68%
Annualized EPS (In Rs.) 15.46 24.01 -35.60%
Net Worth per Share (In Rs.) 216.48 239.38 -9.57%
Qtr end PE Ratio (times) 49.86 - 1.00%
Qtr End Market Price 771 - -