• Ntc
  • Ncell
  • Samsung
  • Apple
  • Xiaomi
  • 2G to 5G
  • ISP
  • NTA
  • Tariffs
  • About us
Saturday, May 24, 2025
NepaliTelecom
  • Home
  • Telecom News
    • News
    • NTA
    • Ntc
    • Ncell
    • Smart Cell
    • Digital Nepal
  • Gadgets
  • How To
  • Editors’ Pick
  • Contact
  • About
No Result
View All Result
  • Home
  • Telecom News
    • News
    • NTA
    • Ntc
    • Ncell
    • Smart Cell
    • Digital Nepal
  • Gadgets
  • How To
  • Editors’ Pick
  • Contact
  • About
No Result
View All Result
NepaliTelecom
No Result
View All Result

Ncell decreases its profit by 3 billion NRs in the year 2018

NepaliTelecom by NepaliTelecom
August 18, 2022
in Information, Ncell
Reading Time: 3 mins read
Ncell

Ncell, the leading private telecom operator of Nepal sees a decline of it’s profit by 3 Billion NRs in the year 2018. According to the Annual report of Axiata, Ncell’s parent company, their Proft after tax fall to Rs 15.3 billion from Rs 18.9 billion.

Although they found growth in the core revenues and data revenues, their overall revenues decline from Rs 58.1 billion (in 2017) to 57.5 billion (in 2018). With the decrease in revenue, Ncell’s EBITDA (Earning before interest, tax, depreciation, and amortization) also decreases by almost 5 percent.

  • EBITDA of Ncell= Rs 37.3 billion in 2017 to Rs 35.5 billion in 2018, difference= -4.9%
  • EBITDA of Ncell in 2018 ~ 62 % ( also mentioned in OAG report claiming highest margin in the world)

Reasons for the profit decline

Ncell says the decline in their profit is due to the regulatory challenges in the competitive market.  The challenges include

  • 2 percent increase in TSC for voice and other services,
  • addition of 13% TSC for data services (which was not there before) and
  • 5 percent increase in the corporate tax rate.

Ncell claims the addition of TSC in data service have resulted in shrinking revenue share for operators and will further bring a trade-off in spending from voice to data for the consumers.

They also cite the decrease in the international long distance call (ISD calls) revenues, of which the traffic goes down by 33% in 2018. This is due to the increasing use of OTT apps. Read More on How OTT apps impact Telecom operators?

They also say one of the reasons for the low profit is the change in labor laws to provide more benefits and more salaries to their employees.

Positive part

On the positive note of the company’s growth, it’s core revenue and EBITDA grew by 5.4% and 4.2% year on year (YoY) respectively while data revenue alone grew by 18% YoY. The smartphone penetration in Ncell comes at 59% while data subscribers in Ncell are 47% of the total subscriber. Such data indicate significant space for the future growth of the company.

Other expansions and further business in the company are

  • Expanded data population coverage to over 55%
  • expansion of IoT for vehicle tracking system
  • Broadband expansion in rural and remote areas
  • contributing to government goals for broadband and digital literacy.
  • Reduction in expenses

Although they have a profit decline of 3 billion rupees, they project data revenues and subscriber to increase by 29% and 16% respectively. They believe such increment will offset the decline in voice revenues.

They also express their commitment to Digital Nepal initiatives by building partnerships and alliances with global and in-country partners towards nation building. Just like their competitor Nepal Telecom announcement of a partnership with RBB for mobile money service, Ncell might also be looking for the option to put their foot on Digital Financial Services.

Follow us on Facebook, Twitter, and Viber to get the latest news, and information about Nepal Telecom, Ncell, Smart Cell, ISPs, mobile apps, and phones in Nepal.

Latest Posts

  • NTA starts facilitation for Ncell to help service exapnsion
  • Ncell brings weekly unlimited all-Nepal calls & other packs
  • Ntc profit declines by 49% in the third quarter of FY 2081/82
  • Ncell joins GSMA initiative to promote digital access for people with disabilities.
  • Snapdragon 7 Gen 4 chipset launched with NPU support
  • First-ever domain in Nepali language goes live
  • GSMA calls on world governments to cut telco spectrum prices
Comments
Previous Post

Nepal Telecom to partner with Rastriya Banijya Bank for Mobile money service

Next Post

How to Get Wifi Internet Connection at Home in Nepal?

NepaliTelecom

NepaliTelecom

Related Posts

Nepal Telecommunications Authority NTA
Ncell

NTA starts facilitation for Ncell to help service exapnsion

May 22, 2025
Ncell logo
Ncell

Ncell brings weekly unlimited all-Nepal calls & other packs

May 21, 2025
Ncell

Ncell joins GSMA initiative to promote digital access for people with disabilities.

May 19, 2025
Load More

You may also read

Ntc FTTH

Nepal Telecom Fiber Internet: Price, Speed, Offer, Packs [2025]

April 16, 2025

How to identify Ntc Ncell Smart Hello mobile numbers? [2025]

January 28, 2025
Ntc Namaste Wifi service with 4G LTE router

Namaste Wifi | Ntc’s Wireless Broadband with 4G Router [2025]

January 29, 2025
Ncell logo

Ncell brings weekly unlimited all-Nepal calls & other packs

May 21, 2025
CAN Sangathan domain in Nepali language Devnagari

First-ever domain in Nepali language goes live

May 17, 2025
Nepal Telecom Ntc SEE student SIM offer

Nepal Telecom Brings SEE offer | Free resource and bonus [2025]

March 27, 2025
NepaliTelecom

Nepalitelecom.com is a website/blog which provides information regarding telecommunication in Nepal along with Gadgets and has been doing some research for the telecom market in Nepal. We intend to do more of such survey/research in the Nepalese Telecom sector.

SiteMap

📢 Follow us on Viber to get the latest news, and information about Nepal Telecom, Ncell, ISPs, mobile apps, and phones in Nepal.

Popular Categories

Ntc | Ncell | Telco News | ISP | NTA | Gadgets

Recent Posts

  • NTA starts facilitation for Ncell to help service exapnsion
  • Ncell brings weekly unlimited all-Nepal calls & other packs
  • Ntc profit declines by 49% in the third quarter of FY 2081/82

© 2025 Nepalitelecom

No Result
View All Result
  • Home
  • Telco News
  • Gadgets Nepal
  • Nepal Telecom
  • Ncell
  • Digital Nepal
  • How To
  • Editors’ Pick

© 2025 Nepalitelecom