Nepal Investment Mega Bank Limited (NIMB) has reported a remarkable 2522.47% surge in net profit for the first quarter of FY 2083/84, reaching Rs. 1.18 Arba compared to Rs. 4.51 Crores in the corresponding quarter of the previous fiscal year. The bank's paid-up capital remained unchanged at Rs. 34.13 Arba, while reserves increased by 3.01% to Rs. 39.59 Arba. Retained earnings stood at negative Rs. 5.16 Arba.
During the quarter, total deposits increased by 2.69% to Rs. 5.41 Kharba, while loans and advances grew marginally by 0.33% to Rs. 3.22 Kharba. Net Interest Income increased by 0.88% to Rs. 3.27 Arba. Personnel expenses rose by 22.29% to Rs. 95.01 Crores, while impairment charges declined sharply by 60.81% to Rs. 1.10 Arba from Rs. 2.80 Arba in the corresponding quarter.
The significant reduction in impairment charges contributed to a substantial improvement in operating profit, which surged by 1024.95% to Rs. 1.69 Arba from Rs. 15.03 Crores in the corresponding period.
The bank's distributable profit after profit/loss appropriation and regulatory adjustments stood at negative Rs. 5.16 Arba. Its capital adequacy ratio stood at 12.17%, while the Non-Performing Loan (NPL) ratio increased to 8.87% from 6.63%. Meanwhile, the cost of funds declined significantly to 3.07% from 3.92%.
NIMB's Earnings Per Share (EPS) stood at Rs. 13.85, compared to Rs. 0.53 in the corresponding quarter, representing a 2522.47% increase. Net worth per share increased by 1.61% to Rs. 200.88 from Rs. 197.71. The bank's quarter-end PE ratio stood at 14.89 times, while its quarter-end market price was Rs. 206.20 per share.
* Figures are of Immediate Previous Year Quarter Ending
