Infrastructure Bank Limited (NIFRA) recently disclosed its third-quarter fiscal report for the year 2080/81, revealing insights into its financial performance amidst evolving market dynamics. While facing a 15.02% decrease in net profit compared to the previous year, NIFRA remains focused on navigating challenges and pursuing sustainable growth strategies.
Maintaining a robust financial position, NIFRA boasts a total paid-up capital of Rs. 21.6 Arba and reserves and surplus reaching Rs. 2.59 Arba. Despite the decline in net profit, the bank continues to uphold its commitment to financial stability and resilience.
Key highlights from NIFRA’s core operations include deposits from customers standing at Rs. 99.10 crores and loans and advances reaching Rs. 20.48 Arba. However, a significant rise in impairment charges by 339.74% poses challenges to profitability, emphasizing the importance of effective risk management practices.
In terms of core business revenue, NIFRA experienced a minimal 2.57% decrease in net interest income, reaching Rs. 1.95 Arba in the third quarter. Additionally, personnel expenses witnessed a decline of 14.04%, reflecting efforts to optimize operational costs. Despite these efforts, operating profit saw a substantial fall, decreasing by 14.99% to Rs. 1.41 Arba.
Financial metrics for the third quarter indicate an annualized EPS of Rs 6.09 and net worth per share standing at Rs 110.65. While facing challenges in profitability, NIFRA remains committed to enhancing shareholder value and sustaining long-term growth.
As NIFRA continues its journey in Nepal’s banking sector, stakeholders must remain vigilant in monitoring market trends and implementing strategic initiatives to address challenges and capitalize on opportunities for growth.