Sanima Bank net profit shows a YoY growth of 27.33% ; NPL as low as 0.17%

As per the 3rd quarter report, Sanima Bank has earned a net profit of Rs 1.20 arba in the first nine months of this fiscal year. This is around 27% more then that earned in the corresponding quarter previous year. Sanima had earned Rs 94.96 crores then. The Earning per share stands at Rs 20.22

The nearly doubling of interest expense has limited of the growth of Net Interest Income to 25%. The Net Interest Income. also known as the primary source of income for banks, has increased to Rs 2.07 arba from Rs 1.65 arba last year. The overall operating profit earned is 28.8% more then that earned in the previous year. The staff expense saw a significant increase of 46.87% due to the increase in branches.

Sanima Bank now has a paid up capital of Rs 8 arba with a reserve of Rs 2.25 arba. The net worth per share of the company is Rs 128.24. In terms of deposit and lending, sanima has collected a total deposit of Rs 71.53 arba and lend Rs 64.32 arba. A growth of 33.87 percent is noticed in deposit whereas the same in lending stood at 32.36%. The company has a low NPL of 0.17%. 

Positive Sides:

• Above average growth in Net Profit
• Low Non-Performing Loan
• Balanced growth in Deposit and Lending.
• Decent Rise in Net Interest Income.

Negative Sides :

•  Jaw dropping Increase in Interest Expense. 
• Rise In Staff Expense.
• Rise in Cost of Fund.
• CCD near the ceiling at 78.18%

 

Key Indicators

Earning Per Share (EPS)  :  Rs 20.22

Networth per Share           : Rs 128.24

P/E Ratio                           : 17.70 times

P/B Ratio                           : 2.79 times

Return on Equity (ROE)    : 15.77%

Return on Assets (ROA)   : 1.88% 

NPL                                   : 0.17%