Sanima Mai Hydropower reports astounding profit growth of Rs 28.36 crore in Q4; Api Power earns Rs 7.40 crore

Sanima Mai Hydropower Company Limited (SHPC) has reported net profit rise of Rs 28.36 crore in the fourth quarter of the fiscal year 2073/74 from net loss of Rs 2.96 crore in the corresponding quarter of the fiscal year 2072/73. Sanima Mai Hydropower was facing loss of millions rupees due to the increased overhead cost including bank interest and depreciation cost. As per the unaudited report published by the hydropower company today, the company made an income of Rs. 79.78 crore , mainly from selling electricity, in the fourth quarter, up from Rs. 40.22 crore in the corresponding quarter. Sanima Mai Hydropower has paid up capital of Rs 1.05 arba. SHPC has been issuing 100% right shares to its shareholders from Shrawan 27, 2074. After the adjustment of the rights shares, the hydropower company’s total paid-up capital will reach to Rs 2.11 arba from existing Rs 1.05 arba. The positive aspect of the company is that its retained earnings has inclined to Rs 29.36 crore in Q4 from Rs 90.15 lakh in corresponding quarter-- rises by massive 3145.66%. It’s Earnings per Share (EPS) stands at Rs 26.29, net worth per share at Rs 127.76 and current ratio at 6.06. Meanwhile, Api Power Company Limited (API) has posted 8.37% decline in its net profit in the fourth quarter (Q4) of the last fiscal year 2073/74. As per the unaudited financial statement published by the hydropower company today, its net profit has decreased to Rs 7.40 crore in Q4, down from Rs 8.08 crore in the same period last year. The reserve fund of company has increased to Rs 8.86 crores in Q4 from Rs 6.71 crores as compared to corresponding quarter. Its income has increased to Rs 13.81 crore, mostly from the sales of electricity and also its administrative expenses has increased to Rs 70.51 lakh at the end of fourth quarter. Its current paid up capital stands at Rs 1.05 arba. The company will soon be issuing 1:2 right shares and the right shares is in SEBON pipeline for approval. Hence, additional Rs 210 crores shall be raised from the right issue. Out of that, Rs 110 crores shall be invested in the solar power projects of the company and Rs 100 crores shall be invested in 75 MW. Trisuli Galchi Project is being developed by Siddhakali Power Limited at Dhanding and Nuwakot District. The company has invested Rs 5 Crores in Arun Kabeli Power Limited as well. Its 200% right share is in SEBON pipeline for approval. Its EPS has slightly declined to Rs 7.05 in Q4 from 8.08 in corresponding quarter, net worth per share at Rs 108.44 and P/E ratio at 87.2times. The company has already constructed Naugarh Gad Small Hydropower Project of 8.5 MW capacity. In the same river, the company is currently constructing another 8 MW hydropower project. The target of completion of this 8 MW project has been set for Chaitra 2074. The company is also developing 19.5 MW solar power projects in different substation of NEA. Company has notified that right after the completion of the 8 MW project the construction of 40 MW Upper Chameliya Hydropower Project shall start. The company aims in providing good return to the shareholders from these projects.