Nepal Republic Media Q4 Results: Revenue Rs. 194M, Net Profit Just Rs. 1.4M, EPS Down to 0.15
Author
Nepsetrading
Nepal Republic Media Limited (NRM) has released its audited financial results for the fourth quarter of fiscal year 2024/25, showing revenue stability but only marginal profitability, reflecting the challenges of the media and publishing industry in Nepal.
The company’s total revenue stood at Rs. 194.18 million in Q4, almost unchanged compared to Rs. 196.60 million in the same period last year. Sequentially, revenue grew steadily from Rs. 53.18 million in Q1 to Rs. 147.99 million in Q3, indicating gradual recovery in advertising and circulation income.
Gross profit reached Rs. 99.95 million, down from Rs. 127.70 million in Q4 last year. The gross margin stood at 55.31%, lower than last year’s 67.91%, highlighting increased costs of operations relative to revenue.
The company posted a net income of Rs. 1.44 million in Q4, which is significantly lower compared to Rs. 4.08 million in the same quarter last year and Rs. 4.62 million in Q3. The net profit margin stood at just 0.8%, showing very tight profitability.
Return metrics were also weak. ROA (Return on Assets) fell to 0.11% from 0.32% last year, while ROE (Return on Equity) slipped to 0.17% from 0.48%. Similarly, EPS (annualized) dropped to Rs. 0.15, down from Rs. 0.42 in the same period last year, reflecting reduced shareholder value creation.
From a valuation perspective, the company’s book value per share remained stable at Rs. 88.70, while the market price per share stood at Rs. 454.60, up from Rs. 437.40 last year. However, the reported PE ratio soared to 3,057.16 due to very small profits, indicating that the stock is trading at extremely high multiples relative to earnings.
No dividend was declared this quarter, continuing the company’s cautious approach to shareholder payouts.
Overall, Nepal Republic Media Limited maintained steady revenue growth but struggled to translate it into meaningful profits. While investor sentiment has kept market prices stable, the company’s very high valuation and declining margins point to the need for stronger cost control and new revenue streams to ensure sustainable growth.
