Nepal's Commercial Banks Post 46.72% Profit Surge in Q1 FY 2083/84; Nabil Leads, NIMB Records Sharpest Growth

All 20 commercial banks have unveiled their financial reports for the first quarter of FY 2083/84, offering a fresh snapshot of profitability, capital strength, asset quality, and overall business growth over the three-month period. This summary highlights key trends in net profit, paid-up capital, reserves and surplus, deposits, and other major financial indicators.

Net Profit

Nabil Bank Limited (NABIL) led Nepal's commercial banks with the highest net profit of Rs. 2.56 Arba, followed by Global IME Bank Limited (GBIME) at Rs. 2.31 Arba and Rastriya Banijya Bank Limited (RBBL) at Rs. 1.65 Arba. Nabil Bank's net profit rose 46.00%, up from Rs. 1.75 Arba in the same quarter of the previous fiscal year.

Nepal Investment Mega Bank Limited (NIMB) recorded the highest net profit growth among commercial banks, surging 2,524.44% to Rs. 1.18 Arba from Rs. 0.05 Arba in Q1 FY 2082/83. Agricultural Development Bank Limited (ADBL) followed with a 1,812.28% increase, while Rastriya Banijya Bank Limited (RBBL) posted strong growth of 184.31%.

Other notable gainers included:

• Siddhartha Bank Limited (SBL): up 165.94%
• Sanima Bank Limited (SANIMA): up 133.56%
• Laxmi Sunrise Bank Limited (LSL): up 97.88%

On the downside, Citizens Bank International Limited (CZBIL) recorded the sharpest decline, with net profit falling 148.64%, from a profit of Rs. 0.22 Arba to Rs. 0.11 Arba. Himalayan Bank Limited (HBL) reported a 6.57% decline, while Prime Commercial Bank Limited (PCBL) and Standard Chartered Bank Nepal Limited (SCB) saw profits fall 5.04% and 2.75%, respectively.

Collectively, the 20 commercial banks posted a net profit of Rs. 19.14 Arba in Q1 FY 2083/84, compared with Rs. 13.04 Arba a year earlier — an overall growth of 46.72%. The industry average net profit stood at approximately Rs. 0.96 Arba, up from Rs. 0.65 Arba.

Paid-Up Capital

Global IME Bank Limited (GBIME) holds the highest paid-up capital at Rs. 39.64 Arba, followed by Nepal Investment Mega Bank Limited (NIMB) at Rs. 34.12 Arba and Nabil Bank Limited (NABIL) at Rs. 33.40 Arba. Laxmi Sunrise Bank Limited (LSL) and Kumari Bank Limited (KBL) follow with Rs. 26.78 Arba and Rs. 26.22 Arba, respectively.

Standard Chartered Bank Nepal Limited (SCB) has the lowest paid-up capital at Rs. 10.04 Arba, followed by Nepal SBI Bank Limited (SBI) at Rs. 11.33 Arba and Everest Bank Limited (EBL) at Rs. 14.40 Arba. The combined paid-up capital of the 20 commercial banks stands at Rs. 417.12 Arba, averaging approximately Rs. 20.86 Arba per bank.

Reserves and Surplus

The combined reserves and surplus of all commercial banks totaled Rs. 394.62 Arba, with an industry average of Rs. 19.73 Arba. Rastriya Banijya Bank Limited (RBBL) led with Rs. 42.09 Arba, followed by Nabil Bank Limited (NABIL) at Rs. 38.03 Arba and Nepal Investment Mega Bank Limited (NIMB) at Rs. 34.43 Arba.

Global IME Bank Limited (GBIME) ranked fourth with Rs. 30.04 Arba, while Nepal Bank Limited (NBL) stood fifth with Rs. 28.33 Arba. Machhapuchchhre Bank Limited (MBL) recorded the lowest reserves and surplus at Rs. 8.01 Arba, followed by Citizens Bank International Limited (CZBIL) at Rs. 8.93 Arba and Prabhu Bank Limited (PRVU) at Rs. 10.28 Arba.

Deposits From Customers

Commercial banks collectively gathered Rs. 7,642.07 Arba in customer deposits, with seven banks surpassing the industry average of Rs. 382.10 Arba. Rastriya Banijya Bank Limited (RBBL) led with Rs. 714.67 Arba, followed by Global IME Bank Limited (GBIME) at Rs. 690.00 Arba and Nabil Bank Limited (NABIL) at Rs. 619.23 Arba.

Nepal Investment Mega Bank Limited (NIMB) ranked fourth with Rs. 540.80 Arba, followed by Laxmi Sunrise Bank Limited (LSL).