Kathmandu: IME Motors has recorded sales of Rs 2.216 billion in the first nine months of the last fiscal year, signaling that the company is on track to surpass its previous year’s performance and possibly achieve nearly Rs 3 billion in total annual sales for 2025.
Owned by businessman Chandra Prasad Dhakal, the company had posted Rs 2.347 billion in sales in 2024, Rs 1.751 billion in 2023, Rs 3.14 billion in 2022, Rs 2.371 billion in 2021, and Rs 1.832 billion in 2020. After a sharp drop in 2023, sales are now gradually recovering, driven by strong demand for Ashok Leyland vehicles — especially buses and intermediate commercial vehicles.
Originally established in 2010 as LT Enterprises, the company became the official distributor for Hinduja Group’s commercial vehicle brand Ashok Leyland in Nepal in 2015. It rebranded as IME Motors in 2017.
IME Motors has secured loan ratings worth Rs 3.25 billion, including Rs 2.129 billion in long-term loans and Rs 1.121 billion in short-term loans. The company’s operating profit margin for the nine-month period stands at 10.8 percent — the highest since it began selling Ashok Leyland vehicles.
According to rating agency ICRA, IME Motors’ total debt is 8.3 times its operating profit, indicating borrowings of around Rs 2.5 billion. The company’s debt utilization is now at 144 percent of its debt capacity, down from 193 percent a year earlier. Current capital loans have also been reduced to 77 percent of total sales, compared to 155 percent the previous year.
ICRA noted that improvements in 2024 and 2025 have eased IME Motors’ financial and liquidity pressures. The company’s debt repayment cycle has shortened significantly, from 365 days to 229 days.
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