REC Limited on Friday reported a strong financial performance for the first quarter of FY26, with net profit rising by 29% year-on-year to ₹4,451 crore, as compared to ₹3,442 crore in Q1 FY25. The results were approved by the Board of Directors at a meeting held today.
As per the limited reviewed standalone and consolidated financial results for the quarter ended June 30, 2025, REC recorded a healthy growth across all key operational and financial parameters.
Key Standalone Highlights (Q1 FY26 vs Q1 FY25):
- Disbursements: ₹59,508 crore (up 36%), with disbursements to the renewable sector rising by 35%.
- Total Income: ₹14,734 crore (up 13% from ₹13,037 crore).
- Net Interest Income: ₹5,247 crore (up 17% from ₹4,474 crore).
- Net Profit: ₹4,451 crore (up 29% from ₹3,442 crore).
- Return on Net Worth: 22.63% vs 19.51%, up by 312 basis points.
REC maintained its net interest margin (NIM) at 3.74% and spreads at 2.96%, demonstrating stable profitability. The annualised earnings per share (EPS) surged to ₹67.60, a 29% increase from ₹52.28 in the same period last year.
The company’s loan book expanded to ₹5.85 lakh crore, up from ₹5.30 lakh crore a year ago. Asset quality also improved, with net credit-impaired assets declining to 0.24%, compared to 0.82% last year. REC’s provision coverage ratio on NPA assets stood at 77.05% as on June 30, 2025.
Strong Balance Sheet and Dividend Payout
Driven by profit growth, REC’s net worth increased to ₹79,688 crore. Reflecting its commitment to shareholder returns, the Board declared an interim dividend of ₹4.60 per equity share (face value ₹10 each) for FY26.
REC continues to play a critical role in financing India’s energy and infrastructure growth, with a growing focus on the renewable energy sector.
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