Salt Trading Corporation Limited (STC), a prominent Nepali public enterprise, unveiled its impressive third-quarter performance for the fiscal year 2080-81, showcasing robust financial results. During Q3 FY 2080-81, STC witnessed a remarkable surge in net profit, reaching Rs. 5.19 crore, marking a substantial 40% increase from the previous fiscal year’s Rs. 3.71 crore.
STC, with a paid-up capital of Rs. 32.07 crore and Reserves and Surplus totaling Rs. 1.39 arba by the third quarter of FY 2080-81, experienced a substantial revenue boost. The company’s sales revenue escalated by an impressive 63.91%, totaling Rs. 9.45 arba during the same period, driven by strong demand and favorable market conditions in the salt trading industry.
However, the company also encountered heightened expenses across various fronts. Interest expenses soared by 52.85%, reaching Rs. 41.61 crore in Q3 FY 2080-81, reflecting the impact of increased borrowing costs. Administrative expenses also saw an uptick, totaling Rs. 16.12 crore, reflecting a 5.09% increase, indicating the company’s efforts to streamline operations and enhance efficiency.
Similarly, staff expenses rose by 8.78%, reaching Rs. 27.17 crore by the end of the third quarter of FY 2080-81, as the company invested in talent and human resources to support its growth initiatives.
Despite the rising expenses, STC’s robust sales performance and effective cost management strategies enabled the company to deliver strong financial results. The Annualized Earnings per Share (EPS) stood at Rs. 21.60, reflecting the company’s ability to generate substantial returns for its shareholders. Additionally, the Net Worth per Share was Rs. 534.06, highlighting the company’s solid financial position and potential for further growth.
STC’s impressive Q3 performance has garnered attention from investors and industry analysts, who are closely monitoring the company’s strategic moves and market position in Nepal’s trading sector. As the fiscal year progresses, STC’s ability to sustain its growth momentum, optimize expenses, and capitalize on emerging opportunities in the salt trading industry will be key factors shaping its long-term success and shareholder value creation.
Related:
