Himalayan Distillery Posts 161% Surge in Annual Profit on Strong Revenue Growth

Himalayan Distillery Limited (HDL) has reported its unaudited financial results for the fourth quarter of fiscal year 2081/82, revealing a substantial increase in net profit, driven by strong sales growth and higher operating margins.

Profit Soars on Robust Sales Performance
As of Ashad-end 2082, the company posted a net profit of NPR 953.26 million, up 161.13% from NPR 365.05 million in the previous fiscal year. This sharp jump in profitability was primarily fueled by a significant rise in gross revenue from operations, which surged by 73.30% to NPR 7.20 billion from NPR 4.16 billion a year earlier.

Operational Efficiency Boosts Margins
Gross profit climbed 77.28% to NPR 2.17 billion, indicating improved cost control and enhanced production efficiency. Operating profit more than doubled, rising 166.78% to NPR 1.29 billion from NPR 483.23 million in the previous year, reflecting strong operational leverage as sales expanded. Non-operating income remained stable at NPR 66.95 million, contributing marginally to the overall profit growth.

Earnings Per Share and Valuation
Earnings per share (EPS) rose sharply by NPR 17.36 to NPR 31.02, compared to NPR 13.66 in the previous year, underscoring the significant improvement in shareholder returns. The company’s net worth per share stood at NPR 135.84, while the price-to-earnings (P/E) ratio was recorded at 39.87, reflecting a relatively high market valuation.

Capital Structure
Himalayan Distillery’s paid-up capital increased by 15% to NPR 3.07 billion, while other equity surged 61.32% to NPR 1.10 billion, indicating strengthened financial reserves to support future expansion.

Himalayan Distillery’s FY 2081/82 results reflect a strong growth phase, driven by substantial increases in sales volume and operating profitability. The company’s ability to convert higher revenues into significantly greater profits demonstrates effective cost management and operational scalability. However, with the P/E ratio at 39.87, the stock is trading at a premium valuation, suggesting that market expectations for sustained growth are high. Maintaining this momentum will require the company to continue expanding sales while preserving its improved margins in the face of potential cost pressures and market competition.