Kalinchowk Darshan Profit Surges 152 Percent, EPS Rises
4th January 2026, Kathmandu
Kalinchowk Darshan Limited (KDL) has announced a significant breakthrough in its financial performance, recording a remarkable net profit increase of 152.68 percent in the second quarter of the fiscal year 2082/83. According to the unaudited financial report released on February 3, 2026, the company’s net profit jumped to 11.993 million rupees, up from 4.746 million rupees in the corresponding period of the previous year. This surge is largely attributed to a robust recovery in domestic tourism and the strategic management of the Kalinchowk cable car operations during the peak winter season.
Kalinchowk Darshan Profit Surges
The report highlights a transition from a net loss in the first quarter to high profitability in the second, underscoring the seasonal nature of the tourism business in the snowy heights of Kuri, Dolakha.
Analysis of Revenue and Operational Income
The primary driver of the Kalinchowk Darshan profit growth has been a steady rise in visitor footfall, which translated into higher ticket sales and hospitality services. During the six-month review period ending in Poush 2082, the company’s total income rose by approximately 15 percent.
Total Income: Increased from 30.8 million rupees to 35.4 million rupees.
Operating Income: Rose from 29.0 million rupees to 34.1 million rupees.
Operating Profit: Improved from 10.2 million rupees to 14.9 million rupees.
The growth in operating income suggests that the company has successfully optimized its cable car capacity and ancillary services. Despite the rising costs of maintenance and energy, KDL managed to widen its operating margins through tighter control over administrative expenses.
Impact on Shareholder Value and Earnings Per Share
The sudden spike in profitability has directly improved the key financial ratios for KDL shareholders. As the company moves toward its third year of being listed on the Nepal Stock Exchange (NEPSE), these figures provide much-needed confidence to the investor community.
Earnings Per Share (EPS): Currently stands at 3.97 rupees.
Net Worth Per Share: Reached 107.36 rupees.
Paid-up Capital: Remains stable at 600 million rupees.
Accumulated Reserves: Increased to 43.9 million rupees.
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These indicators suggest that KDL is gradually building a cushion that could support future dividend distributions or capital expansion projects.
Tourism Sector Context and Market Performance
The Kalinchowk Darshan profit growth does not exist in a vacuum. It coincides with a record-breaking start for Nepal’s tourism industry in early 2026. In January alone, Nepal welcomed over 92,000 international tourists, a 15.7 percent increase from the previous year. This broader recovery has boosted domestic travel as well, with Kalinchowk remaining a top destination for Indian pilgrims and domestic snow-seekers.
Market analysts note that KDL’s stock price (KDL) on NEPSE has reacted positively to the Q2 results, with the price stabilizing around the 810 to 820 range. The market capitalization of the company currently stands at approximately 4.86 billion rupees.
Strategic Expansion and Diversification
To reduce its reliance on the seasonal cable car business, Kalinchowk Darshan Limited is moving forward with its diversification plans.
Urban Hospitality: The company is preparing to raise 600 million rupees through a 100 percent rights issue to fund a new 35-room hotel property and expand its presence in the urban hospitality sector.
Infrastructure Upgrades: Investments are being made to enhance the safety and speed of the cable car system to handle higher volumes during the Shivaratri and Dashain festivals.
Land Acquisition: The company recently acquired 12 ropanis of land in Bhaktapur as part of its long-term asset diversification strategy.
Future Outlook and Risk Factors
While the Kalinchowk Darshan profit growth is impressive, the company’s management remains cautious about external variables.
Seasonality: Nearly 50 percent of the annual revenue is generated during the winter months (November to March). Poor snowfall or unseasonable rain can significantly impact the bottom line.
Competitive Landscape: New cable car projects in neighboring districts could potentially divert some domestic tourist traffic.
Regulatory Compliance: Maintaining the 152 percent growth rate will require consistent adherence to safety standards and environmental regulations in the sensitive Himalayan ecology.
Conclusion
The 152.68 percent jump in net profit marks a definitive turnaround for Kalinchowk Darshan Limited. By leveraging the tourism boom of 2026 and maintaining disciplined operational costs, the company has transformed a challenging start to the year into a period of record growth. For investors, the focus will now shift toward the upcoming rights share issuance and the company’s ability to maintain this momentum into the third and fourth quarters.
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