Dec 04, 2023

NTC's profit fell 9% in three months

NTC's profit fell 9%  in three months

KATHMANDU:Nepal Telecom's revenue fell by 3.5 percent in the first three months of this fiscal year. The net profit fell by nearly 9%.

From Shrawan to Ashoj of fiscal year, Telecom, which is majority-owned by the government, earned 10 billion 64 crore  87 lakh rupees. This figure is less than 3.54 percent lower than the same period previous year.

Telecom earned 11 billion 4 crore 90 thousand rupees in the same period previous year. Telecom's revenue has dropped by 39 crore 12 lakh 97 thousand rupees this year.

Telecom's three-month net profit is 2 billion 2 crore  74 lakh. This is 19 crore 80 lakh 74 thousand rupees less than the same period the previous year. That means, Telem's profit has fallen by 8.90%.

Profit for the same period last year was 2 billion 225 million rupees.

During this quarter, the company's earnings per share were 45.5.

According to NTC, income decreased due to a decrease in interconnection income as a result of increased use of OTT services, a relative decrease in use of the company's services as a result of the economic recession, a change in foreign exchange rates, power supply and maintenance work that could not be completed on time due to adverse weather, and so on.

Similarly, some of the structures built by the company to provide services were damaged during the infrastructure construction, expansion, maintenance, conversion, and management by various public interest agencies and the municipality and ward office, and the network expansion was also hampered, according to NTC.

According to the NTC, the change in bank interest rates has also reduced its financial income.