Kathmandu: Reliance Spinning Mills has recorded a turnover of 10.23 billion rupees in a single year. The company achieved this milestone of over 10 billion rupees in business during the last fiscal year.
In 2024, the company had a turnover of 9.20 billion rupees, compared to 10.06 billion rupees in 2023 and 10.10 billion rupees in 2022.
Established in 1994, the company produces cotton, polyester viscose, acrylic/blended, and polyester textured yarns. It has an annual production capacity of 50,163 metric tons of yarn.
Reliance Mills is Nepal’s largest spinning industry. Its products are consumed domestically and exported to countries including India and Turkey. The company reports annual exports equivalent to 50 million US dollars.
Starting with a capacity of 9,000 spindles, the industry now operates with a total installed capacity of 102,824 spindles. It has two yarn factories in Khanar and Duhabi in Sunsari district, where 4,000 people, including 1,300 women, are employed.
The company reports an improvement in business during the last fiscal year. However, business declined in 2024. In the last fiscal year, the company utilized 71 percent capacity at Unit A and 68 percent at Unit B.
The company set a new sales record in the last fiscal year. It sold 35,369 metric tons of produced materials, compared to 32,667 metric tons in 2024.
According to the company, yarn was sold at an average of 272 rupees per kg in the last fiscal year. In 2024, it was sold at 265 rupees per kg. Similarly, the company earned a net profit of 4.66 percent in the last fiscal year, compared to 0.56 percent in 2024.
In 2024, the company accumulated a total cash reserve of 500 million rupees, while in the last fiscal year, it accumulated 966 million rupees.
The company imports raw materials required for yarn production from China, India, Hong Kong, Indonesia, Malaysia, and Thailand.
The company has obtained a rating for 9.45 billion rupees in long-term and short-term loans. This includes 3.45 billion rupees for long-term loans and 5.58 billion rupees for short-term loans.
The company is a joint investment of the Golyan Group and MS Group, with Pawan Golyan as chairman. Shashikant Agarwal serves as managing director, and Akshay Golyan is another managing director.
Under the leadership of young entrepreneur Akshay Golyan, Reliance Spinning Mills has successfully established a distinct identity in both domestic and international markets.
In recognition of its significant contribution to the national economy through the industry and commerce sector, the Government of Nepal honoured Golyan with the ‘Commercially Important Person’ (CIP) award last June. Akshay, who is also the managing director of the Golyan Group, leads several companies, including the spinning mills.
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