KATHMANDU

Nepal Finance Limited has seen a significant decline in profits. The company has reported a heavy loss in its unaudited financial statements for the third quarter of the current fiscal year. During this period, the company’s own profits have decreased by 87 percent.

In the last nine months of the current fiscal year, the company has only made a profit of 1 million and 18 thousand rupees. This is 87.25 percent less compared to the last fiscal year, when the company made a profit of 10 million, 3 hundred thousand rupees.

During this review period, the company’s own income has increased by 13.28 percent, and the income from fees and commissions has increased by 57.89 percent. However, despite the increase in its own income, the company’s net profit has decreased due to an increase in impairment charges. The company’s impairment charge has reached 16 million six hundred thousand rupees during this period. Similarly, the total operating income of the finance sector has increased by 18.50 percent during the review period, while operating profit has decreased by 82.23 percent.

Along with the company’s profits, earnings per share (EPS) have also decreased. The company’s earnings per share have decreased by 1 rupee, 65 paisa, to 24 paisa. So, the finance sector’s price-earnings ratio has remained at 1682.45 times, while the net worth per share is 134 rupees (83 paisa).