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Siddhartha Devt Bank Writes Back Rs 149.9 Million

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Siddhartha Devt Bank Writes Back Rs 149.9 Million
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April 29: According to third quarter financial report of current FY, Siddhartha Development Bank has succeeded to recover Rs 149.9 million bad debt of previous FY. The bank’s achievement in recovering bad debt of previous FY as well as increase in increase in net interest income by 30.60 percent and operational profit by 30.96 percent has attributed increase in its net profit by two times. After NRB directive of increasing paid-up capital of national level development bank to Rs 2.5 billion, bank is in process to merge with Ekata Development Bank and Nepal Aawas Finance.

In compare to paid-up capital, net profit of the bank has increased by 14.37 percent to 27.42 percent.  The AGM of the bank held on January has endorsed 11 percent bonus share to its shareholders. The reserve fund of the bank has increased by two folds to Rs 302.8 million and investment has increased by 14 percent to Rs 305.2 million. During the period, the bank has collected Rs 8.34 billon deposit and has flowed Rs 7.17 billion loans.

Similarly, interest income of the bank has increased by 12.39 percent while, interest expenses has decreased by 2.36 percent. The employee expenses, other operational expenses and other operational income of the bank have increased by 10 percent, 7.44 percent and 31 percent respectively. Likewise, the fixed asset of the bank has decreased by 9 percent and other asset of the bank has increased by 7 percent.

As per the report, the bank has allocated Rs 74 million for provision of possible loss. The bank has maintained capital fund expenditure of 4.53 percent and capital fund adequacy of 12 percent. Similarly, the bank has CD ratio of 79 percent and bad debt of 2 percent in the third quarter of current FY.

As per the third quarter financial report, the bank has EPS of Rs 7.74, P/E ratio of 7 times and liquidity ratio of 22 times. 

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