Prabhu Bank Limited has released its unaudited financial results for the second quarter of the fiscal year 2025/26 (FY 2082/83). According to the statement, the bank posted a net profit of NPR 1.01 billion (NPR 1.014 billion) during the review period.
In the corresponding period of the previous fiscal year, the bank had earned a net profit of NPR 1.34 billion. This reflects a year-on-year decline of 24.07 percent in net earnings.
Despite the drop in profit, the bank recorded a modest improvement in net interest income. Net interest income increased to NPR 4.98 billion, up from NPR 4.87 billion in the same period last year, indicating some relief on the core banking income front.
However, operating profit remained under pressure. Prabhu Bank’s operating profit declined to NPR 1.97 billion from NPR 2.52 billion a year earlier. The bank allocated NPR 1.46 billion as impairment charges for loan loss provisioning during the period, which significantly weighed on overall profitability.
In terms of key financial indicators, the bank’s annualized earnings per share (EPS) stood at NPR 8.62. The distributable profit remained negative at NPR 3.36 billion. As of mid-January, the bank’s paid-up capital amounted to NPR 23.54 billion, while its reserve and surplus stood at NPR 14.23 billion.
On the business front, Prabhu Bank mobilized deposits worth NPR 347.37 billion and extended loans and advances totaling NPR 227.32 billion. The bank’s non-performing loan (NPL) ratio stood at 7.94 percent, reflecting continued stress in asset quality. Meanwhile, the base rate declined to 5.36 percent during the review period.
Other indicators show that the bank’s net worth per share stood at NPR 146.17, while the price-to-earnings (P/E) ratio was recorded at 21.27 times, based on the latest financial data.
