REC Declares 3rd Interim Dividend @₹4.30; Net Profit scales 23% high

 Delhi: The Board of Directors of Maharatna  PSU,  REC Limited, today approved the limited reviewed standalone and consolidated financial results for the period ended December 31, 2024, according to  a company press release.

Owing to growth in all the verticals, resetting of interest rates on loan assets and effective management of Finance Cost, REC is able to maintain its spreads and NIMs resulting in robust profit after tax of ₹11,477 crore for the period ending December 31, 2024. As a result, the Earnings Per Share (EPS) for the period ended December 31, 2024 accelerated to ₹58.11 (Annualized) per share as against ₹50.65 per share as at December 2023.  

The loan book,  Asset Under Management,  has maintained its growth trajectory and has increased on sustained basis to ₹5.65 lakh crore as against ₹4.97 lakh crore prev. period.

Aided by growth in profits, the Net Worth has grown to ₹76,502 crore as on December 31, 2024, as compared to ₹64,787 crore as on December 31, 2023 registering an increase of 18% YoY.  Indicating the ample opportunity to support the future growth, the Capital Adequacy Ratio (CRAR) of the Company stands at a comfortable 25.33% as at December 31, 2024.

 Major highlights are:   Net Profit: ₹4,029 crore Vs ₹3,269 crore, up by 23%;  Net interest income: ₹4,930  crore Vs ₹4,153 crore, up by 19%;  Net credit-impaired assets reduced to 0.74% from 0.82%;   Revenue from operations: ₹14,157 crore Vs ₹11,982 crore, up by 18%;  Disbursements: ₹54,692 crore Vs ₹46,358 crore, up by 18%; –   Total income: ₹14,173 crore Vs ₹12,000 crore, up by 18%; –   Average cost of funds: 7.18% Vs 7.28%, reduction by 10 bps.

 REC is a ‘Maharatna’ company under t Ministry of Power, and is registered  as NBFC, Public Financial Institution (PFI) and Infrastructure Financing Company (IFC). It is financing the entire Power-Infrastructure sector comprising Generation, Transmission, Distribution, Renewable Energy and new technologies like Electric Vehicles, Battery Storage, Pump Storage projects, Green Hydrogen, Green Ammonia projects etc. Recently REC Limited has also diversified into the Non-Power Infrastructure sector comprising Roads & Expressways, Metro Rail, Airports, IT Communication, Social and Commercial Infrastructure (Educational Institution, Hospitals), Ports and Electro-Mechanical (E&M) works in respect of various other sectors like Steel, Refinery, etc.