Laxmi Sunrise Bank Q1 Net Profit Surges 96.6 Percent to NPR 653.4 Million Driven by Operational Efficiency

2nd November 2026, Kathmandu

Laxmi Sunrise Bank Limited has published its unverified financial report for the first quarter of the fiscal year 2083/84 (ending Mid-October 2026), posting a dramatic jump in bottom-line net profit.

Laxmi Sunrise Q1 Profit Surges

The commercial lender recorded a net profit of NPR 653.39 million during the review quarter. This represents a substantial 96.60 percent increase compared to NPR 332.33 million earned in the corresponding period of the previous fiscal year, supported by significant operational efficiency gains and improved cost of funds.

Net Profit and Operational Performance Growth

The strong upward trajectory in earnings was bolstered by growth in core net interest income, expanding commission revenue, and a notable rebound in operating profits.

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• Net Profit: Reached NPR 653.39 million, soaring by 96.60 percent year-on-year from NPR 332.33 million in Q1 FY 2082/83.
• Net Interest Income: Expanded to NPR 2.76 billion, up from NPR 2.71 billion recorded in the baseline quarter.
• Net Fee and Commission Income: Increased to NPR 644.77 million, compared to NPR 616.84 million in the prior year’s first quarter.
• Total Operating Income: Recorded at NPR 3.89 billion for the quarter.
• Operating Profit: Surged to NPR 933.18 million, up significantly from NPR 438.18 million in the baseline period.
• Profit Before Tax: Reached NPR 948.01 million, expanding from NPR 444.48 million reported in the baseline quarter.

Deposit Mobilization, Lending Expansion, and Asset Growth

The financial institution maintained strong balance sheet expansion through increased customer deposits and loan disbursements over the previous year-end figures.

• Total Deposit Mobilization: Accumulated to NPR 439.55 billion by the end of the first quarter, up from NPR 426.91 billion at the end of the previous fiscal year.
• Total Credit and Advances: Expanded to NPR 321.09 billion.
• Total Assets: Reached NPR 538.28 billion, growing from NPR 511.29 billion at the previous fiscal year-end.
• Paid-up Capital: Stood at NPR 26.78 billion.
• Total Reserves: Accumulated to NPR 19.46 billion.

Asset Quality Metrics and Efficiency Indicators

While gross non-performing loans experienced a slight uptick, net non-performing assets improved alongside lower funding costs and enhanced provisioning coverage.

• Gross Non-Performing Loan (NPL) Ratio: Recorded at 5.58 percent, compared to 5.42 percent in Q1 of the previous fiscal year.
• Net Non-Performing Loan Ratio: Improved to 1.33 percent, down from 1.57 percent in the baseline period.
• Provision Coverage Ratio: Increased to 98.23 percent from 97.38 percent.
• Cost of Funds: Reduced significantly to 3.30 percent, down from 4.17 percent in the baseline quarter.
• Base Rate: Decreased to 4.97 percent, down from 5.96 percent.
• Credit to Deposit (CD) Ratio: Stood at 74.28 percent, down from 77.09 percent.
• Capital Adequacy Ratio (CAR): Improved to 12.86 percent, up from 12.44 percent in the baseline period.

Shareholder Returns and Key Ratios

Substantial profit growth drove clear improvements across return on equity, asset efficiency, and per-share profitability metrics.

• Earnings Per Share (EPS): Climbed to NPR 9.76, up from NPR 5.46 in the baseline quarter.
• Return on Equity (ROE): Increased to 5.50 percent, up from 2.94 percent in Q1 FY 2082/83.
• Return on Assets (ROA): Improved to 0.50 percent, compared to 0.30 percent recorded in the corresponding period last year.

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