Distributable Earning Per Share (EPS) VS Distributed Dividends of Commercial Banks

Distributable Earning Per Share (EPS) VS Distributed Dividends of Commercial Banks

This article is only about Distributable Earning Per Share (EPS) VS Distributed Dividends of Commercial Banks in the fiscal year 2078/2079.

Earnings Per Share (EPS) is a crucial financial metric that provides valuable insights into a company's profitability and its potential for growth.

In the context of the Nepalese Stock Market, understanding EPS is essential for both seasoned investors and those new to the world of stock trading.

Let's first understand the concept of EPS in simple terms and discuss its significance.

What is Earnings Per Share (EPS)?

EPS, or Earnings Per Share, is a financial ratio that indicates the portion of a company's profit allocated to each outstanding share of common stock.

In simpler terms, it tells you how much a company earns for each share you own.

The formula for calculating EPS is straightforward:

EPS = (Net Income - Dividends on Preferred Stock) / Outstanding Shares

Net Income: This represents the company's total earnings after deducting all expenses and taxes.

Dividends on Preferred Stock: Some companies have preferred stockholders who receive dividends before common stockholders.

Why is EPS Important?

EPS offers several key benefits for investors:

Profitability Assessment: It allows investors to gauge how efficiently a company is generating profits.

A higher EPS suggests stronger profitability.

Growth Potential: Consistent growth in EPS over time can indicate a company's potential for sustained growth.

Comparison Tool: EPS enables investors to compare the financial performance of different companies, aiding in investment decisions.

In the Nepalese Stock Market, understanding a company's EPS can be particularly valuable.

It helps investors assess the financial health of Nepalese companies, especially those listed on the Nepal Stock Exchange (NEPSE).

Factors Affecting EPS

EPS can fluctuate for various reasons, including changes in revenue, cost management, and financial strategies.

Events such as mergers, acquisitions, and changes in the number of outstanding shares can also impact EPS.

Distributable EPS is the capacity of stocks to distribute to the shareholders. 

fter understnding the EPS nd Distributble EPS, 

The main purpose of this article is to share with you important information about how much distributable EPS was there of commercial bank stocks and how much dividend was distributed in the fiscal year 2078/2079.

Distributable EPS VS Distributed Dividends of Commercial Banks in the fiscal year 2078/2079

Bank (Symbol) EPS (TTM) Distributable EPS Distributed Total Bonus Cash 
Everest Bank Limited (EBL) 31.7241.13%20.68%13.00%7.68%
NIC Asia Bank Limited (NICA)40.2229.64%0.00%0.00%0.00%
Standard Chartered Bank Limited (SCB)37.3923.31%16.51%0.00%16.51%
Agricultural Development Bank Limited (ADBL)20.6235.60%13.00%2.00%11.00%
Sanima Bank Limited (SANIMA)21.0210.99%10.98%10.00%0.98%
Machhapuchchhre Bank Limited (MBL)18.055.82%14%13.30%0.70%
Nabil Bank Limited (NABIL)27.8212.70%30.00%18.50%11.50%
SBI Bank Nepal Limited (SBI)22.1514.80%10.53%3.00%7.53%
Prime Commercial Bank Limited (PCBL)11.669.32%8.95%4.00%4.95%
Global IME Bank Limited (GBIME)20.7713.61%13.60%3.00%10.60%
NMB Bank Limited (NMB)18.578.44%8.25%0.00%8.25%
Citizen Bank International Limited (CZBIL)15.599.36%9.00%0.00%9.00%
Nepal Bank Limited (NBL)23.2223.76%12.00%2.00%10.00%
Siddhartha Bank Limited (SBL)22.6410.86%13.16%12.50%0.66%
Prabhu Bank Limited (PRVU)128.13%8.00%6.50%1.50%
Nepal Investment Mega Bank Limited (NIMB)12.597.14%0.00%  
Himalayan Bank Limited (HBL)19.1919.89%19.11%8.00%11.11%
Kumari Bank Limited (KBL)7.4612.73%12.50%0.00%12.50%

This information is important to know and analyze the dividend distribution culture of companies.

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