Telecom's Financial Performance Weakens: 32.97% Profit Decline

Nepal Telecom Limited (NTC) has published its unaudited financial report for the second quarter of the current fiscal year. The company has reported a decline in both revenue and net profit.

Net Profit

• By the end of Poush 2081, the company recorded a net profit of NPR 2.63 billion.

• This is a 32.97% decrease compared to the previous year’s NPR 3.93 billion net profit.

Revenue Decline

• Revenue from operations: Decreased by 1.40%, reaching NPR 17.004 billion.

• Finance income: Dropped significantly by 36.30%, settling at NPR 2.30 billion.

• Total income: Declined by 8.40%, reaching NPR 19.51 billion.

Expenses

• Finance cost slightly decreased by 0.19%, reaching NPR 767.98 million.

Earnings Per Share (EPS) Decline:

• EPS dropped by NPR 14.40, settling at NPR 29.28.

• In the same period last year, it was NPR 43.68.

Other Financial Indicators

• Net worth per share: NPR 506.34.

• Price-to-Earnings (PE) Ratio: 30.33x.

• Paid-up capital: NPR 18 billion.

• Reserve fund: NPR 73.14 billion.

The decline in Nepal Telecom's profit is primarily due to reduced revenue, a significant drop in financial income, and increased market competition.