18th April 2025, Kathmandu
Gurans Laghubitta Financial Institution Ltd. has published its unaudited financial results for the third quarter of fiscal year 2081/82. The report highlights significant growth in the company’s net profit compared to the same period last year.
Gurans Laghubitta Q3 Results
For the third quarter, the institution earned a net profit of NPR 27.1 million, marking a 20.62% increase from NPR 22.4 million during the same period last year. This growth is a clear indication of the company’s improved financial performance.
Increased Interest Income
The primary driver behind this growth was an impressive increase in the institution’s core interest income. Interest income rose by 56.66%, reaching NPR 89.2 million, up from NPR 56.9 million in the previous year’s third quarter. This increase in income has played a key role in the overall growth of the institution’s profits.
Operational Profit and Additional Income
In addition to interest income, Gurans Laghubitta also reported strong operational earnings. The company earned NPR 41.4 million in operational profit. Moreover, it generated NPR 570,000 from commission income and NPR 20.3 million in other operational income. These figures reflect the company’s ongoing focus on expanding its services and improving operational efficiency.
Capital, Reserves, and Liabilities
The company’s paid-up capital remains at NPR 115.8 million, with a reserve fund of NPR 53.5 million. Deposits have reached NPR 403.8 million, and the total loan disbursement has grown to NPR 1.88 billion. The reserve fund saw a significant 22.25% increase, which underscores the institution’s commitment to maintaining strong financial stability.
Expenditures and Costs
Gurans Laghubitta’s employee expenses amounted to NPR 48.6 million, while other operating costs totaled NPR 19.9 million during the review period. These figures are in line with the company’s efforts to expand its services and meet the needs of its customers more effectively.
Key Financial Ratios
The institution’s total asset value per share stood at NPR 1,735.66. It reported a price-to-earnings (P/E) ratio of 94.20 and a liquidity ratio of 7.86%. These figures reflect a strong financial position. Gurans Laghubitta also reported an earnings per share (EPS) of NPR 31.20 and a net worth per share of NPR 146.26. Despite the increased volume of loans, the company’s non-performing loan (NPL) ratio remains at a manageable 3.01%.
Summary of Financial Performance
The company’s overall financial performance shows significant improvements in multiple areas. The increase in interest income and operational profit has contributed greatly to the rise in net profit. Furthermore, the rise in loan disbursements and capital reserves has bolstered the institution’s financial strength. Compared to last year’s third-quarter results, this year’s performance demonstrates strong growth and effective management.
Looking Ahead
Gurans Laghubitta Financial Institution Ltd. is on track to continue its positive performance throughout the fiscal year. With growing capital reserves, a larger loan portfolio, and increasing profitability, the company is well-positioned to further strengthen its standing in Nepal’s financial sector.
For more: Gurans Laghubitta Q3 Results