Prime Commercial Bank profit climbs by 23% in the second quarter
February 2, 2020 | Investopaper
Prime Commercial Bank has reported a surge in profit by almost 23 percent in the second quarter of the fiscal year 2075/76. The bank earned a net profit of Rs. 1.30 Arba in the first 6 months, up from Rs. 1.06 Arba in the corresponding period of the previous fiscal year.
The growth in net profit is due to the increase in the net interest income of the bank. Prime Commercial Bank earned Rs. 2.16 Arba as net interest income until the second quarter which is 22% higher than the same period of the last year. With the surge in net profit, the bank has accumulated a distributable profit of Rs. 87 crores.
At the current capital of Rs. 9.69 Arba, the bank has a total reserve and surplus of Rs. 5.66 Arba. Until the second quarter of the fiscal year 2076/77, Prime Commercial Bank has collected Rs. 80.35 Arba deposits from the customers. Likewise, the bank has floated the loans to the customers of Rs. 80.92 Arba.
The decline in the NPL and Base rate is a good sign for the bank. The bank has reduced the NPL and base rate to 1.45% and 9.45% respectively.
The Earnings Per Share (EPS) and Per-share Net worth stand at a satisfactory Rs. 26.86 and Rs. 158.41 respectively.
The second-quarter report of Prime Commercial Bank is also summarized in the table below:
Prime Commercial Bank Second Quarter Report, Fiscal Year 2076/77
| HEADINGS | 2nd QTR, 2076/77 | 4th QTR, 2075/76 | PERCENT CHANGE |
| PAID-UP CAPITAL (Rs. In Arba) | 9.69 | 9.32 | 3.97 |
| RESERVE & SURPLUS (Rs. In Arba) | 5.66 | 4.09 | 38.39 |
| DEPOSITS From Customers(Rs. In Arba) | 80.35 | 77.04 | 4.30 |
| LOANS To Customers(Rs. In Arba) | 80.92 | 72.55 | 11.54 |
| HEADINGS | 2nd QTR, 2076/77 | 2nd QTR, 2076/77 | PERCENT CHANGE |
| NET INTEREST INCOME (Rs. In Arba) | 2.16 | 1.77 | 22.03 |
| PROFIT (Rs. In Arba) | 1.3 | 1.06 | 22.64 |
| DISTRIBUTABLE PROFIT (Rs. In Arba) | 0.87 | – | – |
| NON PERFORMING LOANS, NPL (%) | 1.45 | 1.58 | -8.23 |
| BASE RATE(%) | 9.45 | 10.17 | -7.08 |
| EARNINGS PER SHARE, EPS (Rs.) | 26.86 | ||
| NETWORTH PER SHARE (Rs.) | 158.41 | ||
| MARKET PRICE PER SHARE (Rs.) [Poush end, 2076] | 260 | ||
| P/E RATIO | 9.68 |
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.
