12.5% Bonus Shares & 5% Dividend Declared by Nepal SBI Bank

Nepal SBI Bank, on its 264th Board Meeting, has declared dividend of 12.5 bonus shares per 100 shares plus 5 percent cash dividend for FY 2066-67. Additionally, the meeting approved the bank's financials and the appropriation for the year.

As per the approved financial statements, Nepal SBI Bank earned operating profit of Rs. 57.3 Crores, a growth of 28.92 percent from total deposit mobilization of Rs. 34.90 billion and disbursement of Rs. 17.96 billion as loans and advances. The bank posted after tax profit of 39.17 Crores during the review year.

The Board has also decided to submitted the proposed divided to the Nepal Rastra Bank for approval to place as agenda for upcoming 17th Annual General Meeting of the Bank.

Source:
Jamb News Service

SBI Bank suspends accounts of 400

Nepal SBI Bank, Biratnagar has suspended the accounts of more than 400 customers found to be involved in withdrawing Indian currency (IC) in India with Nepali ATM cards. They were found making the withdrawals in the Indian towns of Farbisgunj and Jogbani on the same day they deposited Nepali rupees in banks in Nepal. "We have suspended the accounts of those found misusing the ATMs and forwarded a list of the accounts facing suspension to Nepal Rastra Bank," said Ameet Koirala, manager of SBI Bank, Biratnagar. The trend of using Nepali ATM cards for withdrawing Indian currency from Indian banks is increasing amid the deepening shortage of Indian currency in the Nepali market.

However, SBI Bank has not disclosed the names of the customers involved. An official at Nepal Rastra Bank (NRB) Biratnagar Office said most of account holders involved in misusing the ATMs are money changers. "We have also instructed other banks to suspend the accounts of such customers," the official added. The central bank has demanded details of customers who withdraw at least 25,000 rupees in Indian currency at a time and 200,000 per month. NRB had given permission to 19 local money changers to exchange a maximum of 2,000 rupees Indian per person. In addition, NRB has been making available 5,000 to 30,000 Indian rupees for those going to India for medical treatment. Nepali customers are estimated to have been withdrawing at least 10 million Indian rupees per day from Farbisgunj, using the Nepali Visa Debit Card.

Source:
myrepublica

Nepse returns to former bearish mode

KATHMANDU: The capital market took a bearish turn this week after a week of bullish trend. The Nepal Stock Exchange (Nepse) index was in a bearish trend since September except between October 30 and November 5. The index had reached 587.21 points after gaining 17.57 points last week. 

Between Novemvber 6 and 12, Nepse experienced downward trend -- losing 21.35 points. The trading floor opened at 587.21 points on Sunday which gradually fall to 565.86 points on Thursday. The biggest losers this week are the commercial banks. Their indices dropped by 30.29 points from 570.39 points to 540.10 points.

Shares of banks, finance companies and development banks fell this week. Nepse index of finance companies fell by 10.42 points close on the heels of development banks. The development banks’ index fell by 11.69 points to stop at 626.42 points. Hydropower sector index also went down by 13.99 points. Fall in major sectors reduced the float index size by 2.05 points.

Shares equal to Rs 311.16 million were traded this week in 5,408 transactions of 6,02,600 units. The trading amount was 4.66 per cent lower than the Rs 326.88 million of the previous week. Class ‘A’ companies trading occupied 54.90 per cent of trading, with Rs 171 million.

Prime Commercial Bank ranked top in amount.

Nepse floor trading status
Major five companies Trading in millions  
Prime Commercial Bank 27.01
Nepal SBI Bank 26.84
Standard Chartered 24.23
Vibor Development Bank 18.88
DCBL Bank 18.67

Himalayan News Service

Nepal SBI Bank’s 2.11%dividend & 10:4 bonus shares

KATHMANDU: Nepal SBI Bank’s 225th board meeting on Friday proposed 2.11 per cent cash dividend and 10:4 bonus shares to its shareholders. The decision has to be approved by the central bank and SBI’s own AGM. The bank collected deposit Rs 27.96 billion in the fiscal year 2008-09 and invested Rs 15.61 billion. It posted a net profit of Rs 440.24 million in that fiscal year which was 25.20 per cent higher than the preceding year’s Rs 310.64 million. — HNS

Bearish regime on tough hold

The downward spiral at home equity market carries on with a further slump on Wednesday making it total of sixth consecutive decline. The market retraction was triggered by almost all of the sectors fronted by banking and insurance stocks. The benchmark Nepse index plummets 5.40 points or 0.91 percent to close at 585.04, its lowest close for more than 28 months.

Today, the market characterized with selling pressure, falling prices, low turnover and feeble investor confidence, said Pramod Karki, an investor in the stock market. Declining stocks outpaced more than twofold the advancing ones with 15 gainers and 42 losers at three hours trade where volume came to thinner of Rs. 30385763 compared to Rs. 53209728 turnover at the same time Tuesday.

Dragged down in scrip prices of most of the financial stocks smashed the Sensitive index to 147.06, losing 1.41 points or 0.95 percent. 78 scrip Sensex consist, 14 commercial banks, 37 finance companies, 15 development bank, 10 insurance companies and one each from hydropower and manufacturing companies. However, float Index an indicator of performance of ordinary shares in the market was down 0.39 points to 56.06.

Commercial banks experience the huge selling pressure that led its index to topple 7.60 points or 1.33 percent to 563.63. Citizens Bank (O: 683, H: 670, L: 635, C: 635), Himalayan Bank (O: 1480, H: 1488, L: 1425, C: 1430) plummets along with key banking stocks asStandard Chartered (-Rs. 51), Nabil Bank (-Rs. 31), Nepal SBI (-Rs. 10) along with others. Finance dropped down 2.90 points to 617.31 and insurance slid 1.31 points to end at 606.07.

Dragged down in scrip price of Nepal Telecom (Rs. 535, -Rs. 5) led others index to subtract 11.75 points or 1.84 percent. However, development bank rose marginal of 0.59 points to 647.80 and hydro edge up 6.02 points on positive demand of Chilime Hydropower (O: 1060, H: 1075, L: 1060, C: 1075).

Merely 63 companies registered their presence in the secondary market maintaining A-D ratio at 0.36. All in all 54727 shares traded today via 738 transactions to Rs. 30385763 turnover along with Rs.412370.06 million market capitalizations.

The top five standouts of the day are MFCL(9.89%), BLDBL( 5.56%), GFL( 4.44%), PRFL( 3.7%), RBS(1.99%).Whereas, CZBIL(-7.03%), MDBL(-3.75%), AFL( -3.58%), HBL( -3.38%), GFLK( -3.34%). comprised of the top five losers.

Down-tick prolongs: NEPSE plunged 4.89 points

The retreation at Nepal stock exchange persists yet again allowing the shabby market to close at red zone for fifth day in a row. Investors are much more caution and anxious to know the spot motive behind the downhill, however not single but bundle of grim news has triggered the negative move of stock market. The benchmark Nepse index sagged down 4.89 points or 0.82 percent to 590.44 led by financial stocks.
Analyst viewed that, the rigid rules and regulation imposed by governing bodies at stock market has impede the growth supported by investors weak outlook on the political and economical milieu. Likewise, flow of new shares in the market as right shares, bonus shares has increased the supply side along with IPOs restricted the flow of investment in stock market.
Today, Prime Commercial Bank Ltd. with stock symbol PCBL has been listed along with Sunrise Bank Ltd. (SRBL) and Vibor Bikash Bank Ltd. (VBBL). 10000000 units shares of PCBL, 12500000 units shares of SRBL and 6800000 unit shares of VBBL has been listed today on consent of Nepal Stock Exchange and trading of all those banks will be started from 3 November 2009 (2066 Kartik 17). Likewise, from today Asian Life Insurance Company Ltd. has issued 1080000 units of shares (including 43200 units for its employees) to the general public at face value of Rs. 100.
The selling pressure mostly on financial stocks has triggered the downhill trend. Commercial banks which command the titanic volume of trade in daily trading hour fronted the declining rally losing 8.03 points or 1.39 percent to 571.23. Machhapuchchhre Bank (Rs. 351, -6.40%),Everest Bank (Rs. 1825, -5.98%), KIST Bank (Rs. 352, -4.86%), NICB (Rs. 817, -3.88%) along with key banks as Standard Chartered (-Rs 20), Nepal SBI (-Rs 4), Kumari Bank (-Rs 20) plummets in banking sectors. Likewise, development bank lost 0.67 points (-0.10%), finance slid 1.60 points (-0.26%) and insurance edge down 1.66 points or 0.27 percent. However, hydropower rose marginal of 0.71 points and others added 4.70 points on positive pricing of Nepal Telecom (Rs. 545, +0.74%).
Sensitive index, 78 scrip domestic blue chip ended losing 1.85 points or (-1.23%) to 148.47 as key financial scrip traded below previous close. Sensex consists, 14 commercial banks, 37 finance companies, 15 development bank, 10 insurance companies and one each from hydropower and manufacturing companies. Similarly, float Index an indicator of performance of ordinary shares in the market fell 0.49 points to 56.45.
Merely 69 companies registered their presence in the secondary market with 22 gainers and 35 losers. The A-D ratio was maintained at 0.63. All in all 93511 shares traded today via 1010 transactions. Moreover, Rs. 53209728 turnover was realized along with Rs.416176.55 million market capitalizations. Yesterday, Rs. 57064520 turnover was realized from 90370 units of shares traded along with Rs.419623.3 million market capitalizations
The top five standouts of the day are MFCL(9.85%), GFL( 6.3%), CIT( 3.84%), CZBIL( 3.48%), PSDBL(2.04%). Whereas, NEFL(-22.95%), MBL( -6.4%), EBL( -5.98%), KIST( -4.86%), NICB( -3.88%). comprised of the top five losers.

Nepse rebounds along with higher Turnover

Nepal stock exchange gained on the opening day of week, Sunday after plunging for four straight sessions to around low of eight months. The psychology of general investor was haunted by fear on floating promoters¿ shares, political chaos and anxiety on government policies to guide the share market amid the dividend declaration by companies after the spurring profit of fiscal year 2065/66. However, the sole secondary market rebounded from earlier loss to add 2.55 points or 0.42 percent to 617.34 on higher turnover, but yet low for more than seven months.
The turnover at Nepse surged to Rs. 149.399 million with a motivating gain, boosted the outlook of investors to demand for more scrip in coming sessions. The general investor¿s outlook had followed by the bear crawl on fear of government policies to implement the Pan number for trade more than 1 million and disclosure of sources of fund for more than 2 million trades. Likewise, People were selling ahead of Dashain and Tihar to finance their festival even at the lower price, however on the other side some people holding optimistic outlook were buying the scrip.
The sectoral indexes traded at secondary market today witnessed mixed performance. Commercial bank, hydropower and others lead the gaining rally where as rest of the indexes plunged down. Commercial bank having its dominance in trade volume heaved up 2.23 points or 0.37 percent to close at 606.88, led by 9.79 percent rise in price of Lumbini bank (C:314, O: 286), SCB (O: 5039, H: 5197, C: 5089, Rs. +50), SBI (1591, Rs. +31) along with others. Others index rose 8.22 points or (+1.27%) to 653.24 on increase in scrip price of Nepal Telecom(O: 549, H: 558, C: 556). Hydro gained 6.45 points or 0.78 percent, however development bank slid 4.58 points to 665.41, finance plummet 1.14 points to 637.18 and insurance down 0.52 points.
The puff-up in demand of some scrip from commercial sector, hydro sector led domestic blue chip, 78 scrip sensitive index to settle at 157.68 adding 0.26 points or 0.17 percent. 14 commercial banks, 37 finance companies, 15 development bank, 10 insurance companies and one each from hydropower and manufacturing companies are included in sensitive index. Similarly, float Index an indicator of performance of ordinary shares in the market rose 0.06 points to 58.59.
Merely 71 companies registered their presence in the secondary market with 27 gainers and 33 losers. The A-D ratio was maintained at .82. All in all 918185 shares traded today via 1152 transactions. Moreover, Rs. 149399738 turnover was realized along with Rs.429486.31 million market capitalizations. On Thursday, Rs. 108687911 turnover was realized from 180963 shares trade along with Rs.427711.92 million market capitalizations. The increase in volume of trade and turnover signifies that there are lots of buyers in the market having optimistic outlook at near term.
The top five standouts of the day are GFCLPO(260%), LUBL( 9.79%), PRFL( 5.81%), EFL( 5.35%), STFL(4.74%). Whereas, NCM(-7.56%), IMEFI(-6.83%), NCCB( -4.55%), IDBL( -4.51%), SDBL( -4.14%). comprised of the top five losers.

Longest nosedive yet for secondary market

Himalayan News Service
KATHMANDU: As expected, the books closing of financial institutions dragged Nepse down to the lowest yet in 2009.All key market propellors commercial banks, development banks, financial institutions and hydropower companies lost this week to pull Nepse by a whopping 55.61 points to 614.79 points from Sunday morning’s opening of 660.40 points.
The hotels sub-group that did not see its shares traded while manufacturing sub-group gained by 4.41 points to reach 438.35 points from Sunday morning’s opening of 433.94 points.
Unilever Nepal Ltd’s 10-unit shares that were traded at Rs 4,346 per unit making it dearer by Rs 85 per unit pushed up the manufacturing sub-group by 4.41 points.Unilever Nepal has recommended Rs 450 cash dividend Rs 400 normal dividend and Rs 50 as commemorative dividend on the occasion of the completion of its 15 years of commercial production in Nepal from the profit of the last fiscal year when it registered a RS 2625.8 million turnover. The company also posted Rs 444 million net profit (after tax). It registered Rs 482.29 Earning Per Share (EPS) and 64 per cent Return on Equity (RoE) in the fiscal year 2008-09.
Though the week started in the green, gaining 2.17 points to 662.57 points on Sunday, it plunged by a whopping 55.61 points during the week.
Currently, banks and financial instituions dominate the secondary market and two institutions Standard Chartered bank Nepal and Nabil Bank are dominant players in the movement of Nepse, putting the secondary market under ‘concentration’ risk. Nabil Bank’s books closing on Tuesday dragged Nepse down by 27.42 points but the bank topped the chart in terms of transaction amount with Rs 67.83 million. Standard Chartered Bank Nepal followed with Rs 58.42 million, and Bank of Kathmandu (with Rs 36.49 million), Standard Finance (with Rs 34.99 million) and Nepal SBI Bank (with Rs 18.36 million) managed to come in the top five slot, respectively. In terms of number of share units traded, Standard Finance topped the chart with 1,35,000-unit shares changing hands while in terms of number of transactions Citizens’ Bank International topped the chart with 407 transactions.
The transaction amount increased by 40.08 per cent to Rs 483.89 million against last week’s fall of 32.63 per cent. Group-A companies contributed 70.71 per cent as against last week’s 67.75 per cent whereas the 78-scrip sensitive index a barometer of Group-A companies lost a hefty 16.20 points to drop to 157.42 points.
The float index calculated on the basis of real transactions also slid down by 5.14 points to drop to 58.53 points from Sunday morning’s opening of 63.67 points.

Bank deposits surge 30pc despite slump

Kantipur Report
KATHMANDU, Sept 3 - Deposits in the country's commercial banks increased by an astounding Rs. 128.7 billion in the last fiscal year. Buoyed by a constant growth in remittances, total deposits in Nepal's 25 commercial banks reached Rs. 555.14 billion, a 30.18 percent increment from the previous year.
The fourth quarterly report of Nepal Rastra Bank (NRB) shows that, along with deposits, lending and net profits of commercial banks have also increased significantly. According to the central bank's report, banks in the country have maintained growth despite the global economic crisis.
The NRB report shows that lending and net profits have increased by 29.61 percent and 33.09 percent respectively. The commercial banks provided loans and advances amounting to Rs. 384.31 billion against Rs. 296.51 billion provided by the 25 banks in the last fiscal year.
According to the unedited financial figures of the central bank, Rastriya Banijya Bank (RBB) collected the highest amount of deposits of Rs. 68.09 billion. Nepal Investment Bank (NIB) was close behind with Rs. 46.69 billion. Its deposits surged by 35.52 percent in the last fiscal year. NIB leads private banks in terms of deposits.
NRB's report also shows that NIB is the largest lender among the commercial banks. In the last fiscal year, the bank provided loans and advances worth Rs. 36.82 billion.
The Agricultural Development Bank, Nepal (ADB/N), RBB and Nabil Bank issued loans amounting to Rs. 32.56 billion, Rs. 31.60 billion and Rs. 27.58 billion respectively. The commercial banks jointly earned a net profit of Rs. 14.14 billion during the period against Rs. 10.63 billion last year. Among the 26 banks, five commercial banks have recorded over Rs. 1 billion in net profits in the last fiscal year.
Nepal Bangladesh Bank declared the highest net profit amounting to Rs. 2.47 billion, followed by RBB and ADB/N which posted net profits of Rs. 2.03 billion and Rs. 1.23 billion respectively. The profits of these three banks improved significantly due to write back of their non-performing loans.
Nabil Bank is the leader among private banks in terms of net profit with Rs. 1.03 billion followed by Standard Chartered Bank.Top Ten in terms of lending
Banks
Nepal Investment Bank 36.82
ADB/N 32.56 Rastriya Banijya Bank 31.60
Nabil Bank 27.58 Himalayan Bank 25.51
Everest Bank 24.46 Nepal Bank 19.48
Nepal SBI Bank 15.13 Bank of Kathmandu 14.94
Kumari Bank 14.59

Top Ten in terms of deposits Banks
Rastriya Banijya Bank 68.09
Nepal Investment Bank 46.69
Nepal Bank 44.62
Nabil Bank 37.34
Standard Chartered Bank 35.87
ADB/N 35.15
Himalayan Bank 34.74
Everest Bank 33.32
Nepal SBI Bank 27.95
Bank of Kathmandu 18.08