Sagarmatha Lumbini Insurance Reports Decline in Profit Despite Increase in Total Income

Kathmandu – Sagarmatha Lumbini Insurance Company Limited (Salico) has released its financial statement for the second quarter of the current fiscal year, reporting a significant drop in net profit compared to the same period last year.

The company recorded a net profit of Rs 68.8 million in the second quarter, marking a 65.72 percent decline from the Rs 200.8 million profit achieved in the corresponding period of the previous fiscal year. The sharp drop in profit is attributed to a decrease in net premium income, which fell from Rs 795.9 million last year to Rs 719.1 million this fiscal year.

Despite the decline in net premium income, the company’s total income showed a modest growth, increasing from Rs 1.23 billion in the previous fiscal year to Rs 1.31 billion in the current period.

The company has accumulated Rs 2.55 billion in special reserves with a paid-up capital of Rs 2.62 billion, Rs 630 million in retained earnings, and over Rs 190 million in its disaster fund. The company’s earnings per share (EPS) stand at Rs 5.02, while its net worth per share is Rs 245.18.