Agricultural Development Bank Achieves Impressive Profit in the Fourth Quarter!
Financial performance of Nepal’s Agricultural Development Bank has been stellar! We’re diving into the latest financial results and what this means for investors, farmers, and the overall Nepali economy.
The bank reported a substantial net profit of NPR 4.15 billion for the fourth quarter of the last fiscal year. This represents a significant 43.28% increase compared to the same period in the previous year, where the profit stood at NPR 2.89 billion. This growth is a testament to the bank’s strong performance and strategic financial management.
While the bank’s net interest income saw a slight decrease from NPR 10.55 billion to NPR 9.82 billion, the overall profitability still soared. This remarkable achievement is partly due to a notable reduction in impairment charges, which dropped to NPR 106.2 million from NPR 2.45 billion in the previous year. This reduction in impairment charges directly contributed to the higher net profit.
The bank boasts a paid-up capital, including preference shares, of NPR 19.28 billion. Its reserve fund stands strong at NPR 16.99 billion. The earnings per share (EPS) reached NPR 27.63, while the net worth per share is NPR 241.04. These figures demonstrate the bank’s solid financial foundation and its ability to generate value for its stakeholders. The Non-Performing Loan (NPL) ratio is healthy, at 3.26 percent. The bank’s dividend distribution capacity is at 18.42%.
These positive results underscore the bank’s commitment to financial stability and its crucial role in supporting agricultural development in Nepal. This strong performance is a positive indicator for the banking sector in Nepal, and it reflects the bank’s ability to navigate economic challenges effectively. Stay tuned for more financial news and updates on the Nepali banking sector.
