Kathmandu: The average earnings per share (EPS) of commercial banks has remained at 11 rupees 91 paise in the 8 months of the current financial year, i.e. till February. Earnings per share have been calculated based on the profit of banks published by Nepal Rastra Bank. Among them, Standard Chartered Bank has the highest earnings per share of Rs 22 16 paisa (not annualized). Second, Everest Bank has an EPS of Rs 19 49 paisa, NIC Asia has an EPS of Rs 17 4 paisa, and National Commercial Bank has an EPS of Rs 18 40 paisa.

According to the data, Kumari Bank has the lowest earnings per share. The income of 9 banks is less than 10 rupees. Nabil's EPS is 17 rupees 46 paise.

Banks' EPS is low due to inability to expand business according to paid-up capital. Moreover, their profits are also under pressure. Banks have earned a total of 42 billion 30 million profit till this period. Compared to the same period last year, the profit has decreased by 13 percent.

Due to the provision of a large amount of income, there is also pressure on their profits. Recently, the increase in bad loans of banks has affected the income. The performance of banks is not satisfactory due to economic recession, slow business, low demand for credit etc. The effect of which is also seen in EPS.

However, the valuation of companies should not be based solely on earnings per share. In this, growth potential, future business expansion and other strategic topics should also be studied and made a basis. In addition, some other important indicators are also necessary to study and analyze.