Nepal Telecom Q2 profit Posted at Rs 4.16 Billion
12th February 2026, Kathmandu
Nepal Doorsanchar Company Limited (Nepal Telecom) has released its unaudited financial statements for the second quarter (Q2) of the fiscal year 2082/83. Despite the persistent global trend of declining traditional voice revenue due to Over-the-Top (OTT) services, the state-owned telecom giant has reported a net profit of Rs 4.16 billion for the period ending Poush 2082. This result reflects the company’s resilience and its aggressive push into data-centric services and fiber-to-the-home (FTTH) expansion.
Nepal Telecom Q2 profit
The telecommunications landscape in Nepal is currently undergoing a rapid transformation, and these results highlight how NTC is positioning itself as a leader in the digital-first economy.
Financial Performance Highlights (Q2 2082/83)
The company’s financial health remains robust, supported by a diverse revenue stream spanning mobile, fixed-line, and internet services.
Net Profit (Year-to-Date): The company reported a cumulative net profit of Rs 4.16 billion for the first six months of the fiscal year.
Quarterly Earnings: For the second quarter alone, Nepal Telecom generated a net profit of Rs 2.84 billion. This indicates a significant acceleration in profitability compared to the first quarter of the year.
Operating Revenue: Revenue from contracts with customers remains the primary driver of income, as the company continues to monetize its massive 4G and growing 5G infrastructure.
Annualized Earnings Per Share (EPS): The annualized EPS is reported at Rs 46.27, providing a strong signal to investors regarding the company’s ability to maintain high dividend payouts.
Balance Sheet Strength and Assets
As the largest corporate entity in Nepal by many metrics, NTC maintains a massive asset base that provides significant long-term stability.
Total Assets: As of Poush 2082, Nepal Telecom’s total assets stood at an impressive Rs 135.05 billion.
Shareholders’ Equity: Total equity reached Rs 98.24 billion, bolstered by large reserves and surplus.
Net Worth Per Share: The net worth per share is recorded at Rs 539.51, showcasing the high intrinsic value of NTC’s shares compared to its market price.
Liquidity Position: With a current ratio of 2.19, the company is in an excellent position to meet its short-term liabilities while continuing to invest in multi-billion rupee infrastructure projects.
Strategic Infrastructure Expansion
Nepal Telecom’s future growth is tied directly to its ability to transition its legacy user base to high-speed broadband services.
FTTH Migration: The company is aggressively migrating customers from older PSTN and ADSL connections to Fiber-To-The-Home (FTTH). This “NT Fiber” service integrates high-speed internet, IPTV, and voice into a single package, significantly increasing the average revenue per user (ARPU).
4G/LTE Coverage: NTC has achieved 4G/LTE coverage in all 77 districts of Nepal, encompassing nearly 750 local bodies. The focus has now shifted toward network optimization and increasing data speeds in high-traffic urban areas.
IoT and Digital Services: The report highlights a growing focus on the Internet of Things (IoT) and specialized data lease services for corporate and government clients.
Market Performance (NEPSE: NTC)
On the Nepal Stock Exchange, NTC continues to be a favorite among institutional investors and long-term retail holders due to its blue-chip status.
Last Traded Price: Rs 847.00
52-Week Range: Rs 762.50 – Rs 996.30
Market Capitalization: Over Rs 152 billion
Price-to-Earnings (P/E) Ratio: 18.28
The current P/E ratio suggests that NTC is trading at a more attractive valuation compared to its historical averages, potentially offering a value-buy opportunity for long-term investors.
Challenges and Governance
While the financial results are positive, the management has identified several ongoing challenges:
OTT Impact: The rise of WhatsApp, Viber, and Messenger continues to cannibalize international and domestic voice revenue.
Supply Chain: Global equipment shortages occasionally delay the deployment of new transmission towers and fiber hardware.
Regulatory Environment: Changes in telecommunications policy and tariff regulations by the Nepal Telecommunications Authority (NTA) require constant operational adaptation.
Corporate Governance: NTC remains a model for corporate governance in Nepal, adhering strictly to Nepal Financial Reporting Standards (NFRS) and maintaining a robust internal audit department to ensure transparency.
Conclusion
The Nepal Telecom Q2 Report for FY 2082/83 confirms that the state-owned provider is successfully navigating the transition from a “Voice Company” to a “Data and Digital Services Company.” With a net profit of over Rs 4 billion and a massive asset base of Rs 135 billion, NTC remains the cornerstone of Nepal’s digital infrastructure. As the company continues to roll out 5G and expand its fiber footprint, it is well-positioned to remain the most profitable entity in the country’s telecommunications sector.
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