Nepal Insurance reports 76% drop in profit in Q3, too

ShareSansar, May 18:

Nepal Insurance Company Limited has reported a massive net profit drop of 76 percent in the third quarter of the current fiscal year 2070/71.

Publishing the unaudited financial report for the third quarter today, the company has stated that its net profit dropped to merely Rs 78.25 lakh down from Rs 3.28 crore in the corresponding quarter of the last fiscal year 2069/70.

Nepal Insurance’s net profit had dropped to merely Rs 1.94 lakh in the second quarter, down from Rs 2.18 crore in the corresponding quarter of the last fiscal year.

The growth in the third quarter was mainly stunted by a huge sum it provisioned by the end of the quarter for the outstanding settlement and unfinished risks even though the company reported income rise -- Rs 76.87 crore up from Rs 66.89 crore.

The insurance company with a huge stake of Nepal Bank Limited has provisioned Rs 22.84 crore for outstanding settlement and Rs 25.44 crore for the unfinished risks.

Its EPS now stands at Rs 5.93, net worth per share is Rs 240.07, and P/E ratio stands at 42.13.