Nepal Life Profit Falls 15% to NPR 465 Million as Insurance Fund Crosses NPR 273 Billion

Kathmandu — Nepal Life Insurance Company Limited, one of Nepal’s leading life insurers, has published its fourth-quarter financial results for the last fiscal year, reporting growth in premium income and its life insurance fund despite a decline in net profit.

The company posted a net profit of NPR 465.3 million during the fiscal year, down 15% from NPR 547.6 million a year earlier. Although income increased, higher expenses put pressure on the company’s bottom line.

Net insurance premium income rose 12.14% to NPR 53.45 billion from NPR 47.67 billion in the previous fiscal year. Total income also increased 8.82%, reaching NPR 74.34 billion from NPR 68.31 billion.

Expenses, however, grew at a faster pace. Total expenses increased 10.12% to NPR 70.77 billion from NPR 64.26 billion.

The company’s paid-up capital increased by 5% to NPR 9.48 billion. Its catastrophe fund also grew 3.32% to NPR 1.54 billion. In contrast, the reserve fund declined sharply by 64.61% to NPR 799 million.

Nepal Life’s life insurance fund recorded strong growth during the year, increasing 17% to more than NPR 273.55 billion.

The company reported earnings per share of NPR 4.91 and net worth per share of NPR 126.07.