CEDB Hydropower Reports Robust Growth with Over 327% Surge in Net Profit in Q3

Kathmandu, May 14 – CEDB Hydropower Development Company has reported a staggering financial performance for the third quarter of fiscal year 2081/82, with a net profit increase of 327.46%, reflecting strong project execution, investment returns, and operational efficiency.

The company's net profit soared to Rs. 353 million, up from Rs. 82.5 million in the same quarter of the previous fiscal year. This significant growth was driven by a multifold increase in total revenue, which jumped 253.64% to reach Rs. 380.95 million, compared to just Rs. 107.72 million in Q3 2080/81.

CEDB's strategic investment approach also seems to have paid off. The total investment surged by 81.59%, from Rs. 644.05 million to Rs. 1.17 billion. However, its investment in fixed deposits dropped by 64.13%, suggesting a shift in focus from low-yield fixed income instruments to more productive asset deployment.

On the funding side, paid-up capital increased by 23.21%, reaching Rs. 1.03 billion, likely through fresh equity infusion. Similarly, reserves and surplus grew by 28.31%, reflecting accumulated earnings and financial resilience.

Operational costs remained controlled, with total expenses rising only by 33.56%, a modest increment compared to revenue growth. This highlights the company’s efficiency in managing operational overheads even during a phase of aggressive expansion.

The rise in advances by 32.90% indicates increased activity in project financing and development, aligning with the overall expansion strategy.

In terms of investor metrics, the company’s Earnings Per Share (EPS) skyrocketed from Rs. 13.12 to Rs. 45.51, a 246.93% increase. Similarly, the Net Worth per Share edged up slightly by 1.69%, now standing at Rs. 171.93, signaling growing intrinsic value for shareholders.

The results suggest that CEDB Hydropower is capitalizing effectively on Nepal’s growing energy sector demand, and positioning itself as a strong performer in the hydropower segment. If the current growth trajectory continues, investors could expect further upside in the coming quarters.