RASTRIYA BANIJYA BANK LIMITED

Unaudited Financial Results

Fourth Quarter ending FY 2079/80 (2022-23)

Condensed Consolidated Statement of Financial Position

As on Quarter Ended 31 Ashad 2080 (16 July 2023)
Group Bank
Particulars Immediate Previous Year Ending Immediate Previous Year Ending
This Quarter Ending This Quarter Ending
(Audited) (Audited)
Assets
Cash and cash equivalent 9,796,166,648 7,892,303,947 9,789,494,582 7,880,097,707
Due from Nepal Rastra Bank 22,675,064,515 16,423,317,544 22,675,064,515 16,423,317,544
Placement with Bank and Financial Institutions - - - -
Derivative financial instruments 2,726,800 - 2,726,800 -
Other trading assets 18,394,920 38,657,684 - -
Loan and advances to B/FIs 15,287,524,934 16,533,783,954 15,287,524,934 16,533,783,954
Loans and advances to customers 230,010,876,858 210,183,764,026 230,010,876,858 210,183,764,026
Investment securities 78,902,189,124 65,571,036,406 78,670,569,124 65,377,116,406
Current tax assets 3,703,829,707 3,637,462,515 3,703,429,374 3,636,497,060
Investment in subsidiaries - - 400,000,000 200,000,000
Investment in associates 243,942,610 243,942,610 206,111,100 206,111,100
Investment property 197,845,995 177,265,441 197,845,995 177,265,441
Property Plant and equipment 30,703,002,353 3,171,040,617 30,700,126,684 3,167,479,565
Goodwill and Intangible assets 50,677,199 53,770,535 49,555,108 52,408,411
Deferred tax assets 3,867,455 4,481,528 - -
Other assets 3,379,309,811 6,415,287,086 3,362,945,480 6,404,963,110
Total Assets 394,975,418,929 330,346,113,895 395,056,270,554 330,242,804,325
Liabilities
Due to Bank and Financial Institutions 1,325,147,513 4,748,840,822 1,325,147,513 4,748,840,822
Due to Nepal Rastra Bank - 24,060,736,189 - 24,060,736,189
Derivative financial instruments - - - -
Deposits from customers 321,338,508,263 258,115,093,623 321,659,484,327 258,144,297,064
Borrowing 60,000,000 60,000,000 60,000,000 60,000,000
Current Tax Liabilities 445,277 - - -
Provisions 364,183,477 375,716,839 364,183,477 375,716,839
Deferred tax liabilities 7,815,101,122 320,002,617 7,815,101,122 320,002,617
Other liabilities 7,444,710,442 7,318,635,102 7,292,598,503 7,247,149,648
Debt securities issued 2,500,582,191 2,607,123,287 2,500,582,191 2,607,123,287
Subordinated Liabilities - - - -
Total liabilities 340,848,678,285 297,606,148,479 341,017,097,133 297,563,866,466
Equity
Share capital 15,637,377,054 14,940,359,099 15,637,377,054 14,940,359,099
Share premium - - - -
Retained earnings 1,891,958,688 1,919,406,055 1,812,873,007 1,863,442,017
Reserves 36,597,404,902 15,880,200,262 36,588,923,360 15,875,136,743
Total equity attributable to equity holders 54,126,740,644 32,739,965,416 54,039,173,421 32,678,937,859
Non-controlling interest - - - -
Total equity 54,126,740,644 32,739,965,416 54,039,173,421 32,678,937,859
Total liabilities and equity 394,975,418,929 330,346,113,895 395,056,270,554 330,242,804,325
Contingent liabilities and commitment 18,325,390,270 64,670,749,399 36,968,542,854 64,670,749,399
Net assets value per share 346.14 227.68 345.58 227.25
(0) - 0.39 - (0.25) - 0.30
Condensed Consolidated Statement of Profit or Loss
For the Quarter ended on 31 Ashad 2080 (16 July 2023)
Group Bank
Current Year Previous Year Corresponding Current Year Previous Year Corresponding
Particulars
Upto this Upto this Upto this
This Quarter Upto this Quarter(YTD) This Quarter This Quarter This Quarter
Quarter(YTD) Quarter(YTD) Quarter(YTD)

Interest income 7,875,641,301 30,838,613,039 6,682,542,273 20,708,965,616 7,869,492,469 30,815,193,973 6,678,212,938 20,689,738,858
Interest expense 5,005,105,653 18,442,666,878 3,705,224,390 11,393,557,547 5,009,967,837 18,456,851,196 3,705,457,650 11,393,790,807

Net interest income 2,870,535,648 12,395,946,161 2,977,317,883 9,315,408,069 2,859,524,632 12,358,342,777 2,972,755,288 9,295,948,051

Fees and commission income 371,180,572 1,165,391,027 293,982,620 1,050,279,317 368,878,361 1,134,610,262 293,409,255 1,019,601,336
Fees and commission expense 169,245,853 434,184,242 90,002,747 349,244,611 162,281,590 427,219,979 95,975,854 349,342,968

Net fee and commission income 201,934,719 731,206,785 203,979,873 701,034,706 206,596,771 707,390,283 197,433,401 670,258,368
Net interest, fee and commission income 3,072,470,367 13,127,152,946 3,181,297,756 10,016,442,775 3,066,121,403 13,065,733,060 3,170,188,689 9,966,206,419

Net trading income (35,532,545) (2,691,871) (11,210,404) 27,267,665 (35,056,112) (2,850,078) (11,210,404) 27,267,665
Other operating income 270,565,177 795,188,462 621,818,171 973,650,643 247,526,762 789,031,377 622,045,017 993,966,489
Total operating income 3,307,502,999 13,919,649,537 3,791,905,523 11,017,361,083 3,278,592,053 13,851,914,359 3,781,023,302 10,987,440,573
Impairment charge/(reversal) for loans and other losses (238,453,385) 1,080,498,769 (27,488,347) 355,718,124 (238,453,385) 1,080,498,769 (27,488,347) 355,718,124
Net operating income 3,545,956,384 12,839,150,768 3,819,393,870 10,661,642,959 3,517,045,438 12,771,415,590 3,808,511,649 10,631,722,449

Operating expense
Personnel expenses 1,168,440,829 4,145,707,378 805,367,591 3,214,299,647 1,162,756,577 4,129,111,480 801,161,717 3,200,129,676
Other operating expense 394,490,112 1,171,195,265 193,750,612 1,069,948,906 396,189,343 1,164,836,232 183,683,506 1,055,094,374
Depreciation & Amortization 113,862,899 569,167,759 381,834,212 560,759,912 113,539,805 567,910,479 381,209,086 559,099,413
Operating Profit 1,869,162,544 6,953,080,366 2,438,441,455 5,816,634,494 1,844,559,713 6,909,557,399 2,442,457,340 5,817,398,986
Non operating income 70,332,806 115,013,052 67,202,434 430,431,650 70,332,806 115,013,052 67,202,434 430,431,650
Non operating expense - - 120,780,124 120,780,124 - - 120,780,124 120,780,124
Share of profit of associates - - (1,079,057) (1,079,057) - - - -
Profit before income tax 1,939,495,350 7,068,093,418 2,383,784,708 6,125,206,963 1,914,892,519 7,024,570,451 2,388,879,650 6,127,050,512
Income tax expense 581,354,216 2,124,197,386 709,558,577 1,839,440,396 574,467,755 2,107,371,135 712,777,403 1,834,228,662
Current Tax 581,968,289 2,124,811,459 379,212,654 1,509,094,473 574,467,755 2,107,371,135 377,952,492 1,499,403,751
Deferred Tax (614,073) (614,073) 330,345,923 330,345,923 - - 334,824,911 334,824,911
Profit for the period 1,358,141,134 4,943,896,032 1,674,226,131 4,285,766,567 1,340,424,764 4,917,199,316 1,676,102,247 4,292,821,850

Condensed Consolidated Statement of Comprehensive Income

Profit/Loss for the period 1,358,141,134 4,943,896,032 1,674,226,131 4,285,766,567 1,340,424,764 4,917,199,316 1,676,102,247 4,292,821,850
Other Comprehensive Income 17,458,130,775 17,488,563,181 (1,867,028,539) (2,012,697,118) 17,458,130,775 17,488,563,181 (1,867,028,540) (2,012,697,119)
Total Comprehensive Income 18,816,271,909 22,432,459,213 (192,802,408) 2,273,069,449 18,798,555,539 22,405,762,497 (190,926,293) 2,280,124,731

Basic earnings per share 34 34.79 33.96 34.85

Diluted earnings per share 34 30.58 33.96 30.63

Profit attributable to:

Equity holders of the Bank 18,816,271,909 22,432,459,213 (192,802,408) 2,273,069,449 18,798,555,539 22,405,762,497 (190,926,293) 2,280,124,731
Non-controlling interest - - - - - - - -
Total 18,816,271,909 22,432,459,213 (192,802,408) 2,273,069,449 18,798,555,539 22,405,762,497 (190,926,293) 2,280,124,731

Significant Ratios as per NRB Directive

Group Bank
Current Year Previous Year Corresponding Current Year Previous Year Corresponding
Particulars
Upto this Upto this Upto this
This Quarter Upto this quarter(YTD) This Quarter This Quarter This Quarter
quarter(YTD) quarter(YTD) quarter(YTD)
Capital Fund to RWA 13.65% 13.29% 13.65% 13.29%
Non-performing loan(NPL) to total loan 2.95% 2.09% 2.95% 2.09%
Total loan loss provision to Total NPL 121.00% 140.99% 121.00% 140.99%
Cost of Funds 6.11% 6.01% 6.11% 6.01%
Credit to Deposit Ratio (Calculated as per NRB Directives) 76.30% 85.89% 76.30% 85.89%
Base Rate 7.79% 7.63% 7.79% 7.63%
Base Rate (Quarterly Average) 8.02% 7.86% 8.02% 7.86%
Interest Rate Spread 3.98% 4.29% 3.98% 4.29%
 Statement of Distributable Profit or Loss
For the Quarter ended on 31 Ashad 2080 (16 July 2023)
Particulars Amount (Rs.)
Opening Retained Earnings 120,897,130
Net profit or (loss) upto fourth quarter of F/Y 2079/80 4,917,199,316
1. Appropriations:
1.1 Profit required to be appropriated to statutory reserve 1,642,248,711
a. General reserve 983,439,863
b. Capital redemption reserve
c. Foreign exchange fluctuation fund 18,359,648
d. Corporate social responsibility fund 31,058,055
e. Employees' training fund (15,608,855)
f. Other
Debenture Redemption Reserve 625,000,000
1.2 Profit required to be transferred to Regulatory Reserve 1,582,974,727
a.Transferred to Regulatory Reserve 1,582,974,727
b.Transferred from Regulatory reserve -
Distributable Profit or (Loss) 1,812,873,007

Notes
1. The above financial statements have been prepared based on the Unified Directive 2079 issued by NRB and are NFRS compliant. The Bank has opted carve-outs on NFRSs as issued by
The Institute of Chartered Accountants of Nepal whereever applicable.
2. Loans and Advances to customers include accrued interest and employee loans and are presented net of impairment charges. Higher of impairment charges calculated as per NFRS
provision and NRB regulation has been charged to statement of profit or loss.
3. Accounting Policy of accounting land portifolio within Property & Equipment has been changed from cost model to revaluation model. Revaluation gain in land portfolio amounting Rs 27,51,08,61,280.71 ( Revalued Amount Rs.
27,69,93,22,792.96; Cost Rs. 18,84,61,512.25). Defered Tax Liability and Asset Revaluation Reserve for the same is Rs. 8,25,32,58,384.21 and Rs. 19,25,76,02,896.50 respectively.
4. Group represents the Bank and its wholly owned subsidiary RBB Merchant Banking Limited and R.B.B. Securities Company Limited.
5. Intra-group transactions have been eliminated in the above consolidated financial statements.
6. Staff Bonus calculated as per prevailing Bonus Act and Regulation has been included in personnel expenses.
7. Interest rate spread of FY 2079/80 fourth quarter has been calculated as per NRB Directive 2079.
8. Net Trading Income has been regrouped/reclassified.
9. Corresponding previous period figures have been regrouped/ rearranged/re-classified wherever necessary.
10. The above figures are subject to change based on the direction of statutory auditor and/ or regulator.
11. Above quarterly financial results are also available in the bank's website: www.rbb.com.np