Kathmandu: Mahalaxmi Bikas Bank has reported a net profit of Rs 500.3 million at the end of the fourth quarter of fiscal year 2024/25, showing significant improvement across key financial indicators.
According to the bank’s recently published unaudited financial report, its dividend-paying capacity has risen notably to 11.51 percent this year.
By the end of FY 2024/25, the bank had collected deposits worth Rs 56.22 billion and mobilized Rs 45 billion in loans. Compared to the previous fiscal year, credit mobilization increased by 5.05 percent.
The bank’s return on equity stood at 11.79 percent, while the credit-to-deposit ratio was maintained at 83.98 percent. The non-performing loan (NPL) ratio was 4.86 percent—well within the regulatory limit set by Nepal Rastra Bank. The bank also maintained a strong capital adequacy ratio, ensuring it will face no capital pressure for business expansion in the coming days.
As per the financial report, the bank’s cost of funds dropped to 4.56 percent as of Ashadh-end (mid-July) 2024/25, down by 2.47 percentage points compared to the previous year. The reduction in funding costs had a positive impact on the base rate, which stood at 6.54 percent at the end of Shrawan (mid-August 2025).
With a lower base rate, borrowers are expected to benefit from reduced interest rates on loans, the bank said.
Comment Here