Swadeshi Laghubitta Vs Laxmi Laghubitta: Comparison Of 2 Microfinance With Similar Capital
May 7,2020 | Investopaper
Two microfinance, namely Swadeshi Laghubitta and Laxmi Laghubitta have published the un-audited financial statements of the third quarter of the fiscal year 2076/77. These two microfinance have a similar capital over Rs 27 crores. Here, we will try to compare the performance of these microfinance on the basis of the un-audited third quarter report of 2076/77.
The financial comparison of these two microfinance will be based on the following indicators.
Paid-up capital & Reserve
Laxmi Laghubitta has a slightly higher capital of Rs. 27.83 crores while Swadeshi Laghubitta has a paid-up capital of Rs. 27.60 crores. Similarly Laxmi Laghubitta also leads in a total reserve with Rs. 27.34 crores. Swadeshi Laghubitta has a reserve of Rs. 15.32 crores.
Borrowings, Deposits, and Loans
Laxmi Laghubitta is ahead in borrowings, deposits and loans with Rs 260.23 crores, Rs 151.56 crores and Rs 452.22 crores respectively. On the other hand, Swadeshi Laghubitta has Rs 241.75 crores, Rs 123.91 crores and Rs 381.78 crores in borrowings, deposits and loans respectively.
Net Interest Income, Operating Profit and Net Profit
With the net interest income of Rs 27.42 crores, Laxmi Laghubitta has earned Rs 16.56 crores and Rs. 9.89 crores in operating profit and net profit respectively. Swadeshi Laghubitta, on the other hand, posted an operating profit of Rs. 8.48 crores and net profit of Rs. 5.39 crores.
Non-Performing Loan (NPL) and Cost of fund
Laxmi Laghubitta has a lower NPL and cost of fund of 1.70 percent and 9.89 percent respectively. Swadeshi Laghubitta has a NPL and cost of fund of 2.16 percent and 9.92 percent.
Earnings Per Share (EPS) and Net-worth Per Share
Laxmi Laghubitta has an EPS of Rs. 47.59 and net-worth per share of Rs. 198.24. Likewise, Swadeshi Laghubitta has EPS and net-worth per share of Rs. 26.07 and Rs. 155.52 respectively.
The comparative performance is also summarized in the table below:
Comparative Performance: Swadeshi Laghubitta Vs Laxmi Laghubitta
| Headings | Swadeshi Laghubitta | Laxmi Laghubitta |
| Paid up capital(Rs.’crores’) | 27.60 | 27.83 |
| Reserve and Surplus(Rs.’ crores’) | 15.32 | 27.34 |
| Borrowings(Rs.’ crores’) | 241.75 | 260.23 |
| Deposits(Rs.’ crores’) | 123.91 | 151.56 |
| Loans & Advances(Rs.’ crores’) | 381.78 | 452.22 |
| Net Interest Income(Rs.’crores’) | 19.81 | 27.42 |
| Operaing Profit (Rs. “crores’) | 8.48 | 16.56 |
| Net Profit(Rs.’crores’) | 5.39 | 9.89 |
| Non Performing Loans, NPL(%) | 2.16 | 1.70 |
| Cost of Funds (%) | 9.92 | 9.89 |
| Earnings Per Share, EPS(Rs.) | 26.07 | 47.59 |
| Networth Per Share ( Rs.) | 155.52 | 198.24 |
| Market Price Per Share (Rs.) [Chaitra end, 2076] | 775 | 956 |
| P/E Ratio | 29.73 | 20.09 |
Note:
The above figures are based on the un-audited quarterly 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.
