Druk Holding and Investments, DHI, reported a significant increase in its group financial performance for the 2023 financial year. The group’s revenue rose by almost 30 per cent, driving its profit after tax to nearly Nu 8.5bn. A news release from DHI attributed the strong financial performance to the health of its portfolio of operating businesses and prudent investment management.
DHI, the government’s commercial arm, reported that the increased revenue enabled it to remit over Nu 16bn to the government, marking a 16 per cent increase from the previous year.
As the largest taxpayer in the country, DHI’s tax contribution for the 2023 financial year also rose by nearly 20 per cent, exceeding Nu 9.5bn.
According to the news release, profits were primarily driven by strong growth in the energy and resources, communication and transportation, and financial services sectors.
The energy and resources sector alone accounted for over 50 per cent of the group’s total revenue, amounting to more than Nu 40bn.
Within the group, Bhutan Power Corporation recorded the highest revenue, generating more than Nu 20bn.
Drukair also contributed significantly, doubling its year-on-year passenger numbers to over 200,000 last year.
This growth helped the national flag carrier achieve a profit of almost Nu 300 M, recovering from a loss of over Nu 1bn in the 2022 financial year.
Meanwhile, the Bank of Bhutan reported a strong financial performance. mBOB transactions increased to almost Nu 70bn, while goBOB facilitated transactions worth nearly Nu 500 M.
Additionally, BOBit, the bank’s foreign inward remittance service, recorded a total remittance of almost AUD 50 M.
DHI’s Chief Executive Officer, Ujjwal Deep Dahal, said “The rapid growth sets the stage for further strategic investments in 2024, with a focus on accelerating Bhutan’s national development in partnership with the government and the private sector.”
The news release states that revenue generation in energy and resources, as well as communication and transportation, is crucial for the development of the Gelephu Mindfulness City.
Namgay Dema
Edited by Sherub Dorji
