NIC Asia Laghubitta’s Net Profit Jumps 346 Percent on Strong Growth in Net Interest Income

NIC Asia Laghubitta Bittiya Sanstha Limited has published its unaudited financial results up to the second quarter of the current fiscal year, reporting a sharp rise in net profit driven mainly by higher net interest income. During the review period, the microfinance company earned a net profit of NPR 10.88 million, marking a substantial increase of 346.46 percent compared to NPR 4.214 million recorded in the same period last year. Net interest income surged by 64.63 percent, while net fee and commission income declined by 93.98 percent. Despite the fall in fee-based income, total operating income increased by 62.26 percent, leading to a remarkable 507.77 percent growth in operating profit. However, distributable profit remained negative at NPR 392 million, with distributable earnings per share standing at a negative NPR 45.07. Along with profit growth, earnings per share improved by NPR 1.68 to reach NPR 2.16. As of mid-January, the company’s net worth per share stood at NPR 122.30, while the price-to-earnings ratio was 258.36 times. The microfinance institution has a paid-up capital of NPR 1.7394 billion and reserve funds amounting to NPR 387.9 million. During the period, it mobilized NPR 20.5487 billion in deposits and borrowings and extended loans totaling NPR 18.7818 billion.