NMB Bank profit climbs by 48%, Actual EPS at Rs. 23.50
February 9, 2020 | Investopaper
NMB Bank has reported a surge in profit by almost 48 percent in the second quarter of the fiscal year 2076/77. The bank has earned Rs. 1.64 Arba in net profit in the first six months of the current fiscal year. As of the last year, the bank net profit stood at Rs. 1.11 Arba until the second quarter.
The rise in net profit is mainly due to the increment in Net interest income by 37 percent. NMB Bank has earned Rs. 2.73 Arba as the net interest income in the six months period. Due to the merger with OM Development Bank, the deposits collection from customers increased by 29 percent to Rs. 126.43 Arba. Likewise, the bank has floated loans of Rs. 113.64 Arba to the customers.
The current capital is Rs. 11.53 Arba with total reserve and surplus of Rs. 10.21 Arba.
Note: The bank has not adjusted 21 percent bonus share from FY 2075/76. After the adjustment, the actual capital will rise to Rs. 13.95 Arba. Likewise, the reserve and surplus will also decline with the dividend adjustment. All the per share indicators will vary accordingly.
The NPL of the bank has increased to 1.96 percent from 0.76 percent. Likewise, the base rate is 10.12 percent. The per share earnings (EPS) is Rs. 30.40. However, after the adjustment of bonus share, the actual EPS will be Rs. 23.50.
See the financial highlights of NMB Bank until the second quarter in the table below:
NMB Bank Second Quarter Report Summary, FY 2076/77
| HEADINGS | 2nd QTR, 2076/77 | 4th QTR, 2075/76 | Percent Change |
| PAID UP CAPITAL (Rs. In Arba) | 11.53 | 9.62 | 19.85 |
| RESERVE & SURPLUS (Rs. In Arba) | 10.21 | 77.85 | -86.89 |
| DEPOSITS From Customers(Rs. In Arba) | 126.43 | 97.89 | 29.16 |
| LOANS To Customers (Rs. In Arba) | 113.64 | 88.49 | 28.42 |
| HEADINGS | 2nd QTR, 2076/77 | 2nd QTR, 2075/76 | Percent Change |
| NET INTEREST INCOME (Rs. In Arba) | 2.73 | 2 | 36.50 |
| PROFIT (Rs. In Arba) | 1.64 | 1.11 | 47.75 |
| DISTRIBUTABLE PROFIT (Rs. In Arba) | 1.12 | – | |
| NON PERFORMING LOANS, NPL (%) | 1.96 | 0.76 | 157.89 |
| BASE RATE(%) | 10.12 | 10.11 | 0.10 |
| EARNINGS PER SHARE, EPS (Rs.) | 30.4 | ||
| NETWORTH PER SHARE (Rs.) | 188.55 | ||
| MARKET PRICE PER SHARE (Rs.) [Poush end] | 359 | ||
| P/E RATIO | 11.81 | ||
Note:
The above figures are based on the unaudited second-quarter report published by the respective company. Investors are advised to take other things into consideration along with this report while making investment decisions. The numbers may vary after the final audit.
