Nirdhan Utthan Laghubitta Q1 FY 2083/84 Net Profit Drops 8.49 Percent to NPR 11.54 Crore as NPL Rises to 13.16 Percent

6th November 2026, Kathmandu

Nirdhan Utthan Laghubitta Bittiya Sanstha Limited has published its un-audited financial report for the first quarter of the fiscal year 2083/84 (ending Ashwin-end 2083).

Nirdhan Utthan Net Profit Drops

The microfinance institution reported an 8.49 percent year-on-year drop in net profit to NPR 11.54 crore, down from NPR 12.62 crore in the corresponding period of the previous fiscal year, driven largely by higher impairment provisions and rising non-performing loans.

Key Profitability and Income Indicators

Despite the decrease in bottom-line profit, core interest income and operational revenue recorded steady growth.

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• Net Profit: NPR 11,54,60,000 (Decreased by 8.49% from NPR 12,61,76,00,000 in Q1 FY 2082/83).
• Net Interest Income: NPR 46,80,00,000 (Increased from NPR 43,39,56,000 in Q1 FY 2082/83).
• Total Operating Income: NPR 54,90,84,000 (Increased from NPR 51,58,94,000 in Q1 FY 2082/83).
• Operating Profit: NPR 17,70,25,000.
• Provision for Tax: NPR 6,38,80,000.

Impairment Provisioning and Operating Expenses

An increase in potential loan loss provisions placed pressure on operational margins.

• Impairment Provision (Impairment Charges): NPR 10,53,87,000 (Increased from NPR 6,47,35,000 in Q1 FY 2082/83).
• Operating Expenses: NPR 26,66,71,000.

Balance Sheet Position and Asset Quality

Asset quality degraded during the quarter, accompanied by a marginal contraction in overall loan disbursements.

• Non-Performing Loans (NPL) Ratio: 13.16% (Increased from 10.47% at the end of FY 2082/83).
• Total Assets: NPR 30,40,04,00,000 (Slightly down from NPR 30,55,14,00,000 at FY 2082/83 end).
• Total Deposits: NPR 22,99,42,00,000 (Increased from NPR 22,64,40,00,000 at FY 2082/83 end).
• Loans and Advances: NPR 26,72,92,00,000 (Slightly down from NPR 26,75,88,00,000 at FY 2082/83 end).

Per-Share Ratios

Per-share earnings decreased in line with reduced net profit performance.

• Annualized Earnings Per Share (EPS): NPR 16.84 (Decreased from NPR 18.40 in Q1 FY 2082/83).

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