United Ajod Insurance Limited Proposes 4.51 Percent Dividend From Profits of Fiscal Year 2024/25

19th June 2026, Kathmandu

United Ajod Insurance Limited has officially announced a total dividend distribution of 4.51 percent for its shareholders.

United Ajod Announces Dividend

The corporate earnings distribution plan was finalized during a high-level board of directors meeting held at the corporate headquarters in Kathmandu. The proposed payout is derived directly from the net investable profits accumulated by the insurance firm during the fiscal year 2024/25, corresponding to the local calendar year 2081/82 BS. The distribution resolution splits the returns into corporate stock adjustments and a minor cash portion designed to handle investor tax obligations.

Detailed Allocation Parameters and Corporate Capital Structure Metrics

The non-life insurance provider compiled clear operational data outlining the division of the bonus assets based on its current paid-up capital foundations.

• Declaring Corporate Entity: United Ajod Insurance Limited
• Target Accounting Period: Fiscal Year 2024/25 (2081/82 BS)
• Total Proposed Dividend Rate: 4.51 Percent
• Bonus Shares Allocation Ratio: 4.2857 Percent
• Cash Dividend Allocation Ratio: 0.2256 Percent (Earmarked exclusively for dividend tax purposes)
• Current Base Paid Up Capital: 2.31 Billion Nepalese Rupees
• Primary Regulatory Sanctioning Body: Nepal Insurance Authority
• Final Endorsement Assembly: Upcoming Annual General Meeting

Regulatory Approval Pathways and Book Closure Adjustments

The executive board must guide the proposed profit distribution through several mandatory regulatory channels before the fresh equity shares arrive in individual depository accounts.

According to the corporate governance rules established for the domestic insurance sector, the proposed 4.51 percent dividend cannot be immediately distributed to the public. The management team must first present the audited financial balance sheets and the dividend resolution to the Nepal Insurance Authority for official administrative clearance. Once the sector regulator grants its formal approval, the insurer will publish a definitive date for its next Annual General Meeting, where shareholders will vote to formally endorse the capital distribution.

Advertisement

Following the general meeting endorsement, the share registrar will coordinate with CDS and Clearing Limited to execute the mandatory book closure process.

During this administrative window, trading of United Ajod Insurance stock on the Nepal Stock Exchange will determine the exact list of eligible investors. Shareholders who own the stock prior to the official book closure date will see their portfolios updated, with the newly issued 4.2857 percent bonus shares deposited directly into their dematerialized accounts after the necessary fractional adjustments are settled.

Enhancing Corporate Capitalization Foundations and Market Stability

For a prominent non-life insurance provider like United Ajod Insurance, prioritizing bonus shares over large cash payouts serves as a strategic method to bolster its internal capital reserves. Retaining a significant portion of earnings within the corporate structure allows the firm to increase its paid-up capital beyond the base 2.31 billion rupee mark, which directly improves its underwriting capacity for heavy commercial risks like hydropower plants and industrial factories.

By building up these core capital funds, the company ensures it can handle large insurance claims efficiently, matching the strict stability goals set by the central regulatory body while safeguarding investor wealth across Nepal.

For More: United Ajod Announces Dividend