Himal Press 
KATHMANDU: Only 26 out of 44 public enterprises (PEs) currently in operation logged profits in the fiscal year 2022/23.
According to the Annual Status Review of Public Enterprises, 2024, made public on Sunday, 15 PEs are in loss while three reported zero turnover.
Total turnovers of PEs increased by 14.87% to Rs 661.01 billion in 2022/23, compared to Rs 575.43 billion in 2021/22.
“Compared to the previous fiscal year, the overall net profit of public enterprises increased by 3,046.20% to Rs 48.51 billion in 2022/23,” the report states. “The main reason for this is the Nepal Oil Corporation (NOC) making a profit of Rs 11.17 billion compared to a loss of Rs 38.17 billion in 2021/22.”
The net profit of the 26 profit-making enterprises increased by 981.40% in 2022/23 compared to the previous fiscal year, while 15 loss-making entities saw their losses rise by 2.81%.
The recurrent expenditure of public enterprises has gone up by 23.79%.
According to the report, the net worth of public enterprises increased by 20% to Rs 982.13 billion in the review period. Thirty-two PEs had positive net worth in the review period, while 10 had negative net worth.
The government’s total investments in PEs have increased by 8.62% to Rs 661.10 billion. During the review period, equity investment by the government in PEs increased by 9.19% to Rs 379.72 billion, while debt investment fell 7.86% to Rs 281.38 billion.
Paid-up capital of PEs increased by 10.62% to Rs 412.12 billion in 2022/23. Likewise, the ratio of operating income of PEs to GDP was 12.28% in 2022/23. Similarly, PEs accounted for 6.97% of the income tax that the government mobilized in 2022/23.
The report states that PEs directly employed 32,180 people in 2022/23. Seven PEs are currently listed on the Nepal Stock Exchange. These PEs accounted for 18.32% of the total market capitalization on the Nepal Stock Exchange as of mid-June 2023.
Out of 18 PEs privatized by the government, 10 are making a profit.
Top Five Profit-Making PEs
1. Nepal Oil Corporation
2. Nepal Electricity Authority
3. Nepal Doorsanchar Company Ltd
4. Citizens Investment Trust
5. Deposit and Credit Guarantee Fund
Top Five Loss-Making PEs
1. Nepal Airlines Corporation
2. Nepal Water Supply Corporation
3. Dairy Development Corporation
4. Udayapur Cement Company Ltd
5. Nepal Television
