Nepal’s commercial banks are sharing their financial results for the year 2081/82. Among 20 banks, four have released their numbers so far. Here’s a simple look at their performances.
Everest Bank improves profit and reduces bad loans
Everest Bank has done better by lowering its bad loans from 0.71% to 0.38%. This helped the bank earn a net profit of nearly 4.92 billion NPR, up from 3.7 billion the previous year.
The bank earned more from interest and other operations. Its total interest income reached 9.13 billion NPR. Everest Bank lent over 213 billion NPR and collected nearly 299 billion NPR in deposits.
It serves over 1.4 million customers through a large network of branches and ATMs across Nepal and abroad. The bank also partners with Punjab National Bank from India, which owns 20% of its shares.
Sanima Bank sees profit growth despite rising bad loans
Sanima Bank’s net profit rose to about 2.57 billion NPR from 2.4 billion NPR last year. However, the ratio of bad loans also increased to 3.01%.
The bank’s interest income was 6.35 billion NPR. It operates 106 branches and 28 counters throughout Nepal.
Despite higher impairment charges, Sanima Bank’s operating profit improved to 3.57 billion NPR.
Kumari Bank’s profit jumps but risk is high
Kumari Bank’s net profit soared by more than 45,000%, reaching 2.11 billion NPR from just 4.6 million NPR last year. This jump was mainly due to a big drop in impairment charges.
Still, the bank’s bad loans are high at 6.42%, which shows a higher risk.
Although the bank paid more taxes than its profit, its distributable profit remained negative, meaning shareholders may not get dividends.
Kumari Bank has over 300 branches and is expanding its services across Nepal.
Siddhartha Bank triples distributable profit
Siddhartha Bank increased its distributable profit from 580 million to 1.86 billion NPR, a 220% rise. Its total profit also grew by over 10%, reaching 3.39 billion NPR.
The bank focuses on safer loans and has kept bad loans low at 2.62%. Its interest income increased by 6.4% to 8.44 billion NPR.
Siddhartha Bank has strong capital and reserves despite limited capital. It is steadily growing in business.
| Bank Name | Net Profit (NPR) | Bad Loan Ratio (%) | Interest Income (NPR) | Branches & Services | Special Notes |
|---|---|---|---|---|---|
| Everest Bank | 4.9 billion (up from 3.7B) | 0.38 (down from 0.71) | 9.1 billion | 131 branches, 13,350 ATMs, international branches | Partners with Punjab National Bank (20% ownership) |
| Sanima Bank | 2.57 billion (up from 2.39B) | 3.01 (increased) | 6.35 billion | 106 branches, 28 counters | Operating profit improved despite risks |
| Kumari Bank | 2.11 billion (from 4.6 million) | 6.42 (high) | 11.55 billion | 302 branches, 50 counters | Profit jump due to lower loss provisions; high risk |
| Siddhartha Bank | 3.39 billion (10% increase) | 2.62 (kept low) | 8.44 billion | Strong capital; steady growth | Distributable profit tripled (220% rise) |
