Slackness in tourism industry hit profit of Soaltee Hotel, Earnings decline by meager 7%

ShareSansar, August 17:

Soaltee Hotel Limited (SHL), a leading five-star hotel group of the country, has reported decline of net profit by 6.94 percent in the last fiscal year 2071/72. The decline in profit is mainly due to the April earthquake which result massive decrease in the flow of tourists.

Publishing the unaudited fourth quarterly report today, Soaltee has stated that it earned a profit Rs 20.74 crore by the quarter end after calculating the taxes, down from Rs 22.18 crore in the corresponding quarter of the previous fiscal year 2070/71.

The profit was mainly propelled by income from operations which surged to Rs 1.38 arba, up from Rs 1.34 arba in the corresponding quarter.

Soaltee’s EPS has fallen to Rs 4.92 from Rs 7.37; P/E ratio now stands at 86.30 times and its net worth per share stands at Rs 28.30.

The company has said that though it has been posting satisfactory growth by the end of the fourth quarter of the last fiscal year, the growth has be stunted due to the massive decrease in the flow of tourists due to April earthquake.

Soaltee has paid up capital of Rs 42.12 crore and Rs 76.21 crore in reserve and surplus account

Note that the Soaltee Hotel is the only company listed on NEPSE with par value equal to Rs. 10. Last year’s Soaltee has offered 17.89 percent cash dividend and 40 percent bonus share to its shareholders.