Shangrila Dev. Bank, Cosmos Dev Bank and Nepal Community Dev Bank register impressive profit growth

Shangrila Development Bank Limited (SADBL) has earned Rs 12.96 crore in the second quarter of the current fiscal year 2073/74. The bank has posted profit growth of 37.76 percent in the second quarter. In the previous year corresponding quarter, the net profit figure was Rs 9.41 crore. Publishing the unaudited financial report today, its net interest income rose to Rs 33.11 crore from Rs 20.04 crore in corresponding quarter of the previous fiscal year. The development bank has collected deposits of Rs 12.04 arba in the Q2 up from Rs 9.13 arba in the corresponding quarter. Likewise, it has extended loans and advances of Rs 10.57 arba in Q2 whereas in the same period last year the figure stood at Rs 6.91 arba. SADBL’s Earning per Share (EPS) stand at Rs 24.16, net worth per share at Rs. 147.21 and P/E ratio at 13.66 times. NCDB profit up 282.5% Nepal Community Development Bank Limited (NCDB), which is being acquired by Shangrila Development Bank, has increased its net profit by 282.5%. Its net profit at the end of Q2 this year has increased to Rs 1.79 crore from Rs 47 lakh last year. Its deposit base has increased to Rs 1.85 arba from Rs 1.14 arba. In the same period, its loans has increased from Rs 81.64 crore to Rs 1.53 arba at the end of Q2 this year. Its CD ratio stands at 72.64% and NPL at 0.55%. Its trading has been suspended in NEPSE since January 5, 2017 as it is undergoing acquisition by Shangrila Dev Bank. Cosmos Development Bank increases its net profit by 110%; NPL down to 0.08% Cosmos Development Bank Limited (CSDBL) has registered a net profit growth of 109.77% in the second quarter of the current FY 2073/74. According to the unaudited financial report published by the development bank, its net profit has increased to Rs 1.24 crore in second quarter, up from Rs. 59.25 lakh in the corresponding quarter of the previous fiscal year. CSDBL’s net interest income has risen to Rs 2.64 crore in Q2 as compared to Rs. 1.48 crore in the corresponding quarter of the last fiscal year. As of Q2, it has a paid up capital of Rs 10.06 crore with a reserve of Rs 3.51 crore. The bank also collected deposits of Rs. 64.86 crore till the end of Q2, up from Rs 51.11 crore in the corresponding period last year. Likewise, it has extended loans and advances of Rs 60.62 crore in Q2 whereas in the same period last year, the figure stood at Rs 43.72 crore. CSDBL’s annualized Earnings per Share (EPS) stands at Rs 24.70 per share. It has a net worth of 134.13. Its 6^th AGM had endorsed a bonus share of 23.60%. Its trading is also in halt, as it is in a process of being acquired by Shangrila Dev Bank. After issuing bonus shares of all the banks and acquisition, the paid up capital of Shangrila Development Bank will reach Rs. 1 arba 57 crore. The bank will further issue stock dividend worth at least Rs. 30 crore, which will increase its paid up capital to Rs. 1.87 arba. Based on NRB’s directive, the development bank has to increase its paid up capital to Rs. 2.5 arba, which the bank aims to reach by further merger/acquisition or by issuing right shares worth Rs. 63 crore.