In the second quarter of the current fiscal year, Upper Tamakoshi Hydropower Company has incurred a loss. According to the quarterly financial report published by the company, the company has suffered a loss of Rs 25 crores (76 lakhs) in the last 6 months.
During this period, the company sold electricity worth Rs 5 billion and 35 crores. Compared to the last fiscal year, the company’s electricity sales have increased by 7.4 percent, but due to high financial costs such as royalty expenses and administrative and organizational expenses, the company has incurred a loss. During the review period, the company’s financial cost alone is Rs 3 billion (42 crores).
During the review period, the company’s per-share earnings (EPS) have also been negative. The company’s EPS was negative at Rs 1.32 during this period. Similarly, the company’s per-share net worth is Rs. 61.
However, even when the company is at a loss, the company’s directors are on foreign trips with company money. Just a few days ago, nine members of the company’s management committee (board) went on a trip to Australia. The decision to approve the expenses of this trip, known as the representation trip, from the company’s annual budget has been approved by the management committee. It has been reported that nearly 50 lakhs or more have been spent on the trip.