Himalayan Reinsurance Q4 Results: Revenue Rs. 7.73B, Net Profit Rs. 1.39B, EPS 12.79

Himalayan Reinsurance Limited (HRL) has published its audited financial results for the fourth quarter of fiscal year 2024/25, showing steady growth in revenue and profitability, strengthening its position in Nepal’s reinsurance sector.

The company’s total revenue in Q4 reached Rs. 7.73 billion, up 16.64% year-on-year from Rs. 6.62 billion in the same quarter last year. Sequentially, revenue continued to grow, rising from Rs. 5.20 billion in Q3 and Rs. 3.04 billion in Q2, reflecting the company’s expanding premium base and market reach.

Gross profit stood at Rs. 2.59 billion, up from Rs. 2.41 billion last year. The gross profit margin was 33.46%, slightly below last year’s 36.47%, indicating that costs grew somewhat faster than revenue.

HRL reported a net income of Rs. 1.39 billion in Q4, a 8.3% increase compared to Rs. 1.28 billion last year. However, the net profit margin slightly dipped to 17.98% from 19.37%, showing stable but slightly pressured profitability.

Key returns remained strong. Return on Assets (ROA) stood at 5.86%, while Return on Equity (ROE) was 8.53%, both stable compared to prior quarters. EPS (annualized) improved to Rs. 12.79 from Rs. 12.34 last year, reflecting consistent shareholder value creation.

On the valuation front, HRL’s PE ratio stood at 72.13, higher than last year’s 47.00, indicating increased investor demand despite relatively steady earnings. The book value per share was Rs. 154.57, while the market value per share surged to Rs. 922.78, up significantly from Rs. 580.00 last year, reflecting strong investor sentiment.

Dividend payouts were absent in this quarter, compared to Rs. 4.74 per share last year.

Overall, Himalayan Reinsurance Limited has delivered another year of revenue and profit growth, maintaining stable margins and shareholder returns. While valuations have surged, fundamentals remain strong, reinforcing HRL’s leadership in Nepal’s reinsurance market.