Sahas Urja Limited has published its unaudited financial results for the fourth quarter of FY 2082/83, reporting a 51.84% increase in net profit to Rs 1.36 billion, compared to Rs 895.1 million in the corresponding period of the previous fiscal year.

The company attributed the strong earnings growth to higher electricity sales revenue, lower administrative expenses, and a significant decline in finance costs.

During the review period, electricity sales revenue increased by 7.42% to Rs 2.84 billion, while operating profit rose 14.80% to Rs 1.98 billion.

Direct expenses increased by 21.28% to Rs 228.3 million. However, finance costs declined by 27.99% to Rs 577.6 million, and administrative expenses fell by 54.69% to Rs 35.5 million, supporting overall profitability.

The company's paid-up capital increased to Rs 4.57 billion, while retained reserves stood at Rs 3.68 billion. Meanwhile, medium- and long-term borrowings declined from Rs 9.17 billion to Rs 8.86 billion.

Sahas Urja's annual earnings per share (EPS) increased by Rs 6.04 to Rs 29.72, with a net worth per share of Rs 180.58 and a price-to-earnings (P/E) ratio of 21.40 times.

Budhigandaki Project Progressing

The company stated that it continues to generate electricity from its 86 MW Solukhola (Dudhkoshi) Hydropower Project, supplying power to the Nepal Electricity Authority. As a run-of-river project, electricity generation may fluctuate depending on seasonal river flow.

Through its subsidiary Times Energy Pvt. Ltd., Sahas Urja is also advancing the 341 MW Budhigandaki Hydropower Project, with the project design in its final stage and site preparation progressing rapidly.

Additionally, the company's proposed 1:1 right share issue has already received approval from the Electricity Regulatory Commission and is currently awaiting final approval from the Securities Board of Nepal (SEBON).