Atmanirbhar Microfinance Posts Rs 11.4 Million Net Profit in Q1

Atmanirbhar Laghubitta Bittiya Sanstha Limited has reported a net profit of Rs 11.4 million in the first quarter of the current fiscal year. According to the unaudited financial statement released by the company, it had incurred a net loss of Rs 4.353 million in the same period last year.

The microfinance institution has successfully turned profitable this year by reducing last year’s losses. Its net interest income grew by 13.92 percent to Rs 35.7 million from Rs 31.3 million a year ago.

Total operating income rose 14 percent to Rs 39.5 million, up from Rs 34.6 million in the previous year. Operating profit stood at Rs 11.1 million, a significant improvement from an operating loss of Rs 23 million in the corresponding period last year.

However, the non-performing loan (NPL) ratio remains elevated. It declined from 14.43 percent last year to 12.83 percent this quarter but is still considered high.

The company has a paid-up capital of Rs 78.3 million and reserves worth Rs 239.1 million.

With a return to profitability, Atmanirbhar Microfinance is expected to focus further on controlling bad loans and boosting income in the coming quarters.