Citizens Bank International Limited has reported a significant drop in profit during the first quarter of fiscal year 2082/83.

According to the bank’s unaudited financial statement, net profit plunged by 211.20%, turning the bank’s results from profit to loss. The bank, which had earned a profit of Rs. 190 million during the same period last year, has now posted a loss of Rs. 220 million in the first quarter of the current fiscal year.

Following the decline in profitability, the distributable profit also fell sharply by 161%, while retained earnings dropped by 153%. Consequently, the earnings per share (EPS) fell by 206%, turning negative at Rs. -5.97 per share.

The steep decline in profit was primarily attributed to a 91% increase in impairment charges, which rose from Rs. 900 million in the same period last year to Rs. 1.73 billion this quarter, significantly impacting the bank’s overall financial performance.

Despite the loss, the bank’s net interest income increased by 11%, rising from Rs. 1.49 billion to Rs. 1.66 billion year-on-year, indicating stable core banking operations amid rising credit risk provisions.