Oriental Insurance Reports Loss in Second Quarter of Current Fiscal Year

Kathmandu – Oriental Insurance Company Limited has published its second-quarter financial report for the current fiscal year, revealing a decline in income and profitability. According to the report, the company earned Rs 659.9 million during this period, marking a 4.94 percent decrease compared to the Rs 694.2 million it had earned in the same quarter of the previous fiscal year.

The company’s net insurance premium income has also declined. In the second quarter of the previous fiscal year, it stood at Rs 493 million, but this year, it has dropped to Rs 467.7 million. With the decline in revenue and insurance premiums, the company has faced increasing financial pressure, resulting in a significant downturn in profitability.

While the company had recorded a net profit of Rs 258.3 million in the previous fiscal year, it has now reported a loss of Rs 197.5 million for the second quarter of the current fiscal year. The financial strain is further evident in the company’s rising expenses, which have surged from Rs 411.7 million in the last fiscal year to Rs 886.3 million this year.

Despite the losses, the company maintains Rs 3.94 billion in its non-life insurance fund. Additionally, it has accumulated Rs 1.69 billion in special reserves and over Rs 60 million in its disaster fund. However, the retained earnings of the company remains negative at Rs 280 million.