NMB Bank’s Net Profit Rises 27.11%, Driven by Strong EPS Growth and Credit Expansion
In the first quarter of the current fiscal year, NMB Bank Limited earned a net profit of NPR 1.16 billion, marking a 27.11% increase compared to the same period last year. The bank's annualized earnings per share (EPS) rose by 25.42% to NPR 23.83, alongside improvements in deposit and credit growth.
NMB Bank Limited has posted a significant improvement in its financial performance for the first three months of the current fiscal year 2083/84, earning a net profit of NPR 1.16 billion. This represents a 27.11% increase compared to NPR 916 million recorded in the corresponding period of the previous fiscal year. Driven by this profit growth, the bank’s annualized earnings per share (EPS) surged by 25.42% to NPR 23.83.
The bank also reported encouraging growth in profits available for distribution to shareholders. Annualized distributable EPS grew by 43.88% to reach NPR 11.64. This bottom-line performance was supported by a 26.17% increase in operating profit to NPR 1.89 billion and a 29.66% decline in impairment charges for potential losses to NPR 502.18 million.
On the business expansion front, the bank registered growth in both credit deployment and deposit mobilization:
- Total Credit: Increased by NPR 8.09 billion to reach NPR 276.04 billion (exceeding the banking industry average growth rate).
- Total Deposits: Increased by NPR 6.03 billion to reach NPR 324 billion.
Asset quality showed gradual improvement, with the bank's non-performing loan (NPL) ratio dropping to 4.92% from 4.97% in the previous quarter. Meanwhile, the capital adequacy ratio stood at 12.53%, reflecting the bank's strong capital position, financial stability, and commitment to sustainable banking practices.