Worrisome situation for CORBL: Profit plunge by 645.53%, NPL almost 50%

ShareSansar, May 19:

Corporate Development Bank Limited stated 645.53 percent decrease in its net profit for the third quarter of the current fiscal year 2070/71.

In the unaudited financial report for the third quarter published today, the bank has stated a loss of Rs 7.68 crore as compared to a net profit of Rs 1.03 crore of the corresponding quarter of the last fiscal year 2069/70.

The net loss of the bank was mainly due to decrease in core business of the development bank as the net interest income has depleted to Rs 94.24 lakh from Rs 4.13 crore. The drastic decrease in its loan portfolio to Rs 43.24 crore from 99.45 crore was the main reason behind such outcome.

Similarly the bank failed to mobilize more deposits as it shrunk to Rs 81.54 crore from Rs 1.2 arba as compared to the corresponding quarter.

The bank’s provision for possible loss has decreased to Rs 7.38 crore from 9.49 crore while non performing loan has increased to 49.01 percent as compared to the corresponding quarter of last year which was 11.04 percent.

The EPS stands at Rs -38.4, the net worth per share at Rs -2.73 and the P/E ratio is 9.83 times.