Agriculture Development Bank reports a decent growth of 13.56% in Net Profit ; EPS of Rs 24.20

As per the 3rd quarter report, Agriculture Development Bank has earned a net profit of Rs 1.78 arba with an EPS of Rs 24.20. The net profit earned this year is 13.56% higher then previous year. 

The rise in Interest expense by hefty 85.75% has resulted a decline of Net Interest Income by 16.38%. The Net Interest Income as of 3rd quarter is Rs 4.30 arba. The rise in fee, comission as well as operating Income has also contributed in the growth of Net Profit. The staff expense saw a decline of nearly 11%. 

The company has a paid-up capital of Rs 13.93 arba and equity shares of Rs 8.50 arba, meeting the NRB's directive for paid-up capital. Similarly, the company has collected a reserve of Rs 9.64 arba. The company has a net worth per share of Rs 210.53.

In term of deposit collection, a decent growth of 18.51% is seen as the collection rose to 97.10 arba. Similarly, lending has surged by 7% as loan extension of Rs 94.89 arba was made throughout the review period.

 

Positive Sides:

• Decent growth in Net Profit. 
• Balanced growth in deposit and lending. 
• Earning per share of Rs 24.20 
• Adequate Capital with CAR 20.76%
• Reduction in Staff expense
• Hefty Reserves

Negative Sides:

• High CCD Ratio of 79.13%
• High NPL of 3.49%

  

Key Indicartors:

Earning Per Share (EPS)           : Rs 24.20

Price Earning Ratio (P/E Ratio) : 13.88 times 

Book Value                                 : Rs 210.53

P/b Ratio                                     : 2.10 times

Return on Equity (ROE)              : 9.10%

Return on Assets (ROA)             : 1.90%