Everest Bank Ltd. – Increase in Profit by 19%September 27, 2005
The Board of Directors of Everest Bank Ltd. in its meeting held on 26th September, 2005 approved the Profit and Loss Accounts for the financial year ended 31st Asadh, 2062 (15th July, 2005) and the Balance Sheet as on 31st Asadh, 2062 (15th July, 2005). The Board noted with satisfaction that despite constraints in economy the Bank was able to increase its deposits by more than 25% and advances by almost 30% during the year compared to the previous year. This resulted in increase in operating profit from Rs.31.65 crore to Rs.37.52 crore – an increase of 18.9% over last year. After providing provisions for income tax and statutory provisions there was a disposable net profit of Rs.17.08 crore compared to Rs. 14.36 crore last year, an increase of 18.9%. The Board also resolved to recommend to the forthcoming Annual General Meeting of its shareholders Bonus shares of 20%, net of tax @ 5% (tax will be paid by the Bank towards tax on 20% bonus). The Board also noted with satisfaction that the Bank had opened two branches during the last financial year namely: a) Pokhara andb) Dry Port at Birgunj and has opened two more branches during the current financial year namely: a) Itahari in Morang District and b) Chabahil in Kathmandu Valley. The Board further noted with satisfaction that the Management is now preparing Five Years Strategic Plan so as to increase the deposit base to Rs.2500 crore or more and consequent increase in lending and profit. The required further upgrading in IT facilities, recruitment of best available manpower and providing them specialized training as well as upgrading Internal Audit System is being worked out and implemented. The Board considered the request received from the shareholders from towns like Biratnagar and Birgunj for holding Annual General Meeting of the Bank in their towns by rotation. The Board decided that the ensuing Annual General Meeting of the Board shall be held at Biratnagar and directed the Secretary of the Bank while issuing notice to the shareholders to inform about the venue of the ensuing AGM at Biratnagar.