Everest Bank Ltd's 4th quarter report of fiscal year 2071/72

Everest Bank Limited (EBL) stated 1.59 percent increase in its net profit for the fourth quarter of the last fiscal year 2071/72.

In the unaudited financial report for the fourth quarter published today, the bank has stated that its net profit has increased to Rs 1.57 arba up from Rs 1.54 arba as compared to the corresponding quarter of the last fiscal year 2070/71.

The bank’s net interest income has slightly decreased to Rs 2.87 arba from Rs 2.91 arba as compared to the corresponding quarter which is mainly due to massive increment in deposits this fiscal year resulting higher interest expenses for the bank.

There is increase in the deposits to Rs 83.09 arba from Rs 62.10 arba and the loan also reached to Rs 55.36 arba from 48.45 arba in the published quarter.

Its non performing loan has reduced to 0.66 percent as compared to the corresponding quarter of last year which was 0.97 percent.

The EPS stands at Rs 78.04, the net worth per share at Rs 342.18 and the P/E ratio is 27.17 times.

The year-to-year growth of the bank based on 5 year data is 13.16 percent which indicates that the banks profit is growing at the pace of 13.16 percent per year.

Everest bank has offered 50 percent cash dividend and 12 percent bonus share to its shareholders last fiscal year i.e. 2070/71.-SS

Nepse index surges past previous high to 1,088.42 points

The bull run witnessed in the country’s only secondary market since the past two months continued in the trading week of August 9 to 14, driving up the Nepal Stock Exchange (Nepse) index to close at nearly a seven-year high of 1,088.42 points. The benchmark index soared by 48.06 points or 4.62 per cent week-on-week to breach the previous high of 1,083.55 points that was recorded on July 21, last year.

Investor optimism following the central bank’s latest monetary policy requiring financial institutions to increase their paid-up capital has been further boosted by the positive development at the political front.

Consequently, starting the week at the previous week’s close of 1,040.36 points, the benchmark index surged by 23.05 points by the day’s closing on Sunday. The Nepse index ascended by another 17.95 points on Monday, but shed 3.58 points and 0.59 points on Tuesday and Wednesday, respectively, due to profit-booking. However, the local bourse more than regained all the loss on Thursday by climbing 11.23 points. The last time Nepse had closed at the current level was on August 26, 2008, when it had rested at 1,087.80 points.

All in all, 5.56 million units of shares of 168 companies worth Rs 3.18 billion were traded at Nepse during the trading week through 21,487 transactions. The traded amount was 28.55 per cent higher than the preceding week when 17,482 transactions of 4.84 million scrips of 172 firms worth Rs 2.48 billion had been undertaken.
The sensitive index, which gauges the performance of class ‘A’ stocks, rose by 12.03 points to 234.81 points. Similarly, the float index that measures the performance of shares actually traded also added 2.96 points to land at 77.46 points during the review period.
While trading remained constant at 212.92 points, hydropower and finance were the only two subgroups to record losses.

The bull run in the stock market can be attributed to the massive demand for stocks of commercial banks as the banking subgroup has the highest stake in Nepse’s market capitalisation. The banking sub-index increased by 72.43 points to 1,021.34 points. Nabil Bank’s stocks closed at Rs 2,500 (up Rs 200), Standard Chartered’s at Rs 2,730 (up Rs 402), and Nepal Investment Bank’s at Rs 1,000 (up Rs 199), among others.

Meanwhile, similar to the previous week, insurance was the top gainer in the week, surging by 130.46 points to 4,609.67 points. Share value of National Life Insurance soared by Rs 115 to Rs 2,130 and that of Life Insurance Co Nepal by Rs 162 to Rs 3,352, among others.
Unilever’s scrips gaining a hefty Rs 2,300 to close at Rs 23,700 helped the manufacturing subgroup to more than recover the loss of the previous week and ascend by an impressive 125.29 points to rest at 1,802.76 points.

Hotels went up by 11.59 points to 1,875.79 points. Even as Oriental’s scrips dropped by Rs 28 to Rs 585 and Taragaon’s dipped by four rupees to land at Rs 241, the loss was offset by Soaltee’s shares edging up by eight rupees to Rs 438.

Nepal Telecom’s share value went up by six rupees to close at Rs 621, which in turn pulled up the others subgroup by 7.04 points to 729.57 points.

Development banks inched up by 2.85 points to 856.83 points. On the other hand, hydropower slumped by 40.38 points to 2,101.55, as Chilime’s shares lost Rs 61 to land at Rs 1,520 and Ridi Hydropower’s was down Rs 12 to Rs 395.
Likewise, finance dipped by 4.2 points to 539.28 points.NIC Asia Bank topped the chart in terms of number of shares traded and turnover, with 342,000 of its scrips worth Rs 281.57 million changing hands. Everest Bank with
Rs 206.32 million, Nepal Investment Bank with Rs 171.75 million, Nepal SBI Bank with Rs 141.76 million and Nepal Bangladesh Bank with Rs 138.63 million were the other firms to record high turnover during the review period.
Meanwhile, Century Commercial Bank was the forerunner with regards to number of transactions, clocking a total of 1,334 deals. - HNS

Everest Bank Ltd. to distribute 50% cash dividend & 12 percent bonus shares for FY 2070/71

Shareholders of the Everest Bank Ltd will enjoy a bonanza in the run up to the Dashain festival as the bank has announced 62 percent dividend to its shareholders.

According to the bank, it is distributing 50 percent cash dividend and 12 percent bonus shares from the profit that it has achieved in the last fiscal year.

Profitability of commercial banks down to 19.23pc on FY 2070/71

Profitability of commercial banks took a beating last fiscal year, as capital fund bulged, while earnings grew moderately.

Average return on equity (RoE) — a measure to gauge profitability — of 30 commercial banks stood at 19.23 per cent in mid-July, as against 22.19 per cent in the same period the previous fiscal. (The RoE was calculated by comparing capital fund of mid-July, 2013 with net profit of fiscal 2013-14 that ended in mid-July, 2014.)

Global IME and Commerz and Trust likely to finalize merger this week

After months of closed-door negotiations with various BFIs, Commerz and Trust Bank Nepal Limited has more or less decided to merge with Global IME Bank.

Everest Bank distributing 10% bonus share & 50% cash dividend on ordinary shares, 7% return on preference shares, 20% converted certificates

Everest Bank Limited has formally announced distribution of 60 percent dividend for ordinary shares and 7 percent fixed return on preference shares.

It may be noted here that with this return on the preference shares, 20 percent of the preference shares have also been converted to ordinary shares for the second time.

Dividend announcements fail to attract investors

Despite the attractive dividend announcements, lack of bonus shares dampened investor confidence and share prices failed to increase.

This year, the dividend offering has risen in comparison to last year especially by finance companies and development banks. However, since the past one and a half months, the stock index of the three subgroups commercial banks, development banks and finance companies  has remained static.

NEPSE drops 0.05 pts to 551.95

Dangling its way back and forth over the yesterday’s closing, the Nepse index puts on a roller coaster performance today.

The market moved in a zigzag pattern between the range of 551 to near 553 levels. At the end of the day, the benchmark index barely failed to settle in green terrain, as it remained 0.05 points below the yesterday’s closing level. The local bourse today came to close at Rs 551.95 levels.

NEPSE at 552

Sprinting its way further up, the Nepse index crossed 550 levels to settle at 552 levels today.

As the dividend distribution and announcement season has kicked in, in the midst of an upcoming festive season, the investors are converging in market to capitalize the return provided by the listed companies.

Nepse index up as companies announce dividends

The dividend announcements seem to have buoyed investors as the market reacted positively to the string of dividends declared this week — September 8 to 12.

The index gained 2.95 points on the week’s trading as the dividend announcements of Chilime Hydropower, Nabil Bank and Everest Bank affected the market. Chilime’s shares registered a gain of Rs 83 per unit, while Nabil Bank’s shares shot up by Rs 145 per unit. However, Everest Bank’s shares suffered as the dividend announcement though hefty disappointed investors by its scanty bonus share allotments and its shares fell by Rs 187 per unit.

Nepse at 547.6, loss of 4.74 points

Latest flexibility given by the Nepal Rastra Bank (NRB) to Banking and Financial Institutions (BFIs), by prolonging the deadline of meeting the paid up capital, topple the market sentiment today.

Earlier, NRB had directed the Banking and Financial Institutions through monetary policy to raise their paid up capital to the standard set by the NRB within this fiscal year end. However, recently, the NRB has revised this policy and has asked the BFIs to meet the requirement by the end of the next fiscal year.

Major Companies’ dividend declaration hints at surging market

If the announcement of largely impressive dividends by major players last week is anything to go by, the share market is likely to head in the right direction in the days to come.
Analysts say that the development is quite encouraging, though it may be too early to hint at a bullish trend.

Everest Bank bagged the ´Best Managed Commercial Bank´ award.

Everest Bank has bagged the ´Best Managed Commercial Bank´ award in the Asian Paints Newbiz Award. According to a press statement, the award was announced and handed over in the Business Conclave & Awards ceremony held at Hotel Soaltee on Saturday.

10 companies controlled 55% of stock trading

Ten companies controlled 55 percent of the total stock market transaction in the last fiscal year.
The Nepal Stock Exchange (Nepse) witnessed transaction worth Rs 22.14 billion in 2012-13. Everest Bank, Global IME and Standard Chartered Bank Nepal were among the top companies who shares were heavily traded. There are 230 companies listed on the Nepse.

Rising provision, NPA threaten to cast shadow over banks’ profits

Though profits posted by most commercial banks for FY 2069/70 came as great news for the entire banking sector, the scenario might not be as rosy as it seems. 

Most of the banks have set aside huge amount of provision for nonperforming assets (NPA) to make up for bad loans.

Net profit of commercial banks up

Commercial banks seem to have recovered from shadows of bad loans made in the past, as they registered a whopping rise in net profit last fiscal year.

The net profit of class ‘A’ financial institutions increased by 40 per cent in the last quarter of fiscal year 2012-13, according to their recently published unaudited financial reports. The 31 commercial banks have earned a net profit worth Rs 20.1 billion, which stood at Rs 14.3 billion in the corresponding period of the previous fiscal year. Only Kist Bank registered a loss.

Nepal Investment Bank net profit 1.99 arba; Nepal SBI Bank 77.59 cr & Everest Bank 1.47 arba

Nepal Investment Bank has reported 91.73% rise in net profit. The bank earned Rs 1.99 arba in FY 2069/70, compared to Rs 1.03 arba posted in the last fiscal. The bank’s NPA fell 42.47% to 1.91. NPA was 3.32% in the same period last fiscal. The bank has reported only slight growth in deposits. NIB’s deposit collection reached Rs 62.42 arba, a rise of 9.50 percent over last year. Loans and advances increased 11.17% to Rs 47.70 arba. The banks EPS stands at Rs 52.88 and net worth at Rs 213.49.

8 banks, 40 dev. banks & 38 finance to issue bonus shares or rights shares or go for merger.

Eighty-six banks and finance institutions are still short of funds to meet the minimum capital base set by the new monetary policy of Nepal Rastra Bank.
As per the monetary policy, commercial banks must maintain a paid up capital of Rs 2 arba, national level development banks Rs 64 crore, finance companies Rs 20 crore and regional development banks should have a paid up of Rs 10 crore.

Everest posts Rs 2.4 billion profit for the fiscal year 2012-13

Everest Bank Limited has posted an operating profit of Rs 2.4 billion for the fiscal year 2012-13. This is an increment of 34.14 percent compared to previous year’s profit. In a statement, the bank said the calculation is based on the provisional account as presented by the management of the bank to the board. Also, the bank’s NPA has come down to 0.62 percent from 0.84 percent last year, it said.
src kathmandu post

Blue Chip Stocks of Nepal Stock Exchange, EBL NABIL, CHCL, BPCL, MBBL, SBBL etc

"Blue chip stocks are the stocks of nationally known companies whose value and dividend are reliable; typically have high price and low yield;"blue chips are usually safe investments"
Source: http://www.thefreedictionary.com/blue-chip+stock

I have my list of top two companies in each sector with exception to hotel group. The list is as follows: