Mandakini Hydropower Achieves 23% Profit Growth with Stable Revenue and Lower Expenses
Mandakini Hydropower Company Limited reported a net profit of NPR 39.8 million in the last fiscal year, up 22.94% from the previous year.
ShareSanskar | Shrawan 20, 2082
Mandakini Hydropower Company Limited has showcased remarkable financial strength and strategic management in its latest unaudited fourth-quarter results, delivering a performance that sets new benchmarks in Nepal’s hydropower sector. The company recorded a net profit of NPR 39.8 million, up 22.94% from NPR 32.4 million in the previous year, reflecting not only operational efficiency but also a well-executed growth strategy. This significant improvement underscores Mandakini’s ability to enhance shareholder value while navigating a competitive and evolving market.
Revenue generation remained steady, with electricity sales contributing NPR 109.1 million, a modest but stable 1.51% increase from the prior year. Beyond its core operations, Mandakini diversified its income streams, earning NPR 8.79 million in financial income and NPR 171,000 from other sources. This balanced approach highlights the company’s commitment to maximizing returns while maintaining pricing stability and operational sustainability.
Equally impressive is the company’s cost management, with total expenses reduced from NPR 65.8 million to NPR 62.8 million, a notable NPR 3 million savings. This disciplined cost control, achieved during a period of inflationary pressures, demonstrates strong managerial competence and the ability to protect margins without compromising quality or service. With current assets of NPR 45.5 million comfortably exceeding current liabilities of NPR 24.1 million, Mandakini’s liquidity position further strengthens its foundation for future growth.
Key valuation metrics reinforce the company’s premium market positioning, including Earnings Per Share (EPS) of NPR 6.17, Net Worth Per Share of NPR 107.13, a Price-to-Earnings (P/E) ratio of 97.63x, and a liquidity ratio of 18.81%. These indicators reflect both market confidence and the company’s robust fundamentals. For investors, Mandakini represents more than just a hydropower firm, it is a strategic asset in Nepal’s drive toward sustainable energy independence, offering strong growth prospects, disciplined operations, and a compelling long-term value proposition.