Kathmandu: Vianet Communications has achieved a significant financial milestone by generating nearly Rs 2.5 billion in revenue over the past year. Specifically, the company recorded a total turnover of Rs 2.404 billion during the last fiscal year.
This performance reflects a steady upward trend in the company’s financials compared to previous years. In 2024, the turnover stood at Rs 2.306 billion, while in 2023 and 2022, the figures were Rs 2.179 billion and Rs 2.231 billion, respectively.
The company’s profit margins remained relatively stable throughout the last fiscal year. According to corporate reports, Vianet maintained a profit margin ranging between 27 and 34 percent during this period.
Despite the stable margins, the absolute operating profit saw a slight decline, settling at Rs 748 million compared to the Rs 774 million recorded in 2024. Simultaneously, the company successfully reduced its personnel expenses, bringing staff-related costs down to Rs 174 million from the previous year’s Rs 224 million.
Vianet reported a net profit of 3 percent for the last fiscal year. Furthermore, the company’s total cash reserves showed signs of improvement, increasing from Rs 519 million in 2024 to a closing balance of Rs 541 million.
While the company maintained a moderate debt profile in 2024, its leverage increased during the last fiscal year. This rise in debt is primarily attributed to increased obligations regarding royalty and Rural Telecommunications Development Fund (RTDF) fees on maintenance charges, which totalled Rs 433 million and pushed the capital structure toward higher borrowing.
Even with the increased debt, Vianet’s repayment capacity remains within manageable limits. The total debt-to-cash reserve ratio stood at 4.36 times, up from 3.44 times in 2024. Additionally, the interest coverage ratio, which measures the company’s ability to pay interest on outstanding debt, was recorded at 3.57 times, a slight decrease from the previous 3.66 times.
Founded in 1999, Vianet transitioned into a public company in 2022. As an internet service provider licensed by the Nepal Telecommunications Authority, it has been delivering connectivity solutions across the country for over two decades.
Currently ranked as the fourth-largest internet service provider in Nepal by subscriber base, Vianet holds a 10.29 percent share of the domestic market. Its infrastructure and services now span 58 districts across all seven provinces.
The company’s leadership includes Chairman Binay Bohra, Independent Director Parshuram Kunwar Chhetri, and CEO Sewa Pathak. For its financial expansion, the company has sought credit ratings for loans totalling Rs 3.18 billion, which includes Rs 2.75 million in long-term credit and Rs 2.905 billion in short-term credit facilities.
In a competitive landscape of 60 licensed ISPs, the top 20 companies dominate 99.11 percent of the market. Within that group, the five largest providers control 71 percent of the total market share. Vianet maintains a solid 10 percent share of this sector, securing its position as the fourth-largest player in terms of market expansion.
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