Nabil Bank Reports 45.5% Growth in First-Quarter Net Profit
Nabil Bank Limited has reported a significant increase in net profit for the first quarter of fiscal year 2083/84, earning Rs. 2.55 billion compared to Rs. 1.75 billion in the corresponding period last fiscal year. Improved interest income, higher fee and commission earnings, and a substantial reduction in impairment charges contributed to the growth.
According to the bank's unaudited financial statements, Nabil Bank posted a net profit of Rs. 2.55 billion in the first quarter of FY 2083/84, up from Rs. 1.75 billion in the same period of the previous fiscal year. The growth in net profit was largely supported by a significant reduction in impairment charges, which declined from Rs. 647.2 million in the corresponding quarter last year to Rs. 164 million during the review period. The decline indicates reduced provisioning pressure from potential loan losses. The bank's core income sources also recorded positive growth. Net interest income increased to Rs. 4.73 billion from Rs. 3.90 billion, while net fee and commission income rose to Rs. 919.4 million from Rs. 798.7 million. Similarly, the bank's earnings per share (EPS) increased to Rs. 33.89, while its net worth per share stood at Rs. 233.39. Total deposits reached Rs. 619.23 billion, and the bank's total loans and advances stood at Rs. 476.01 billion. Regarding shareholder returns, Nabil Bank reported distributable profit of Rs. 2.26 billion. Its non-performing loan (NPL) ratio stood at 4.06%, while net NPL was recorded at 0.63%. The bank's capital adequacy ratio stood at 11.67%.