REC Limited has announced that its audited standalone and consolidated financial results for the quarter and the year ending March 31, 2024, have been approved. In the fourth quarter of fiscal year (FY) 2024, REC experienced a significant increase in revenue from operations compared to the same period in FY23. Revenue rose to Rs 126.13 billion, a 25 percent increase from Rs 101.13 billion. Total income followed a similar pattern, growing to Rs 126.43 billion from Rs 101.24 billion, reflecting a 25 percent increase. Net interest income rose to Rs 44.07 billion from Rs 34.09 billion in fouth quarter of FY23, a notable 29 percent jump. The company’s net profit increased to Rs 40.16 billion (34 per cent increase) from Rs 30.01 billion in the fourth quarter of the previous fiscal year.
Furthermore, total sanctions saw a 34 per cent increase to Rs 3,588.16 billion from Rs 2,684.61 billion. Similarly, disbursements experienced a surge, reaching Rs 1,614.62 billion, a 67 percent jump from Rs 968.46 billion in FY23. The revenue from operations for the year showed a significant 20 percent increase from Rs 392.08 billion in the previous fiscal year to Rs 471.46 billion in FY 2024. Similarly, total income increased from Rs 392.53 billion to Rs 472.14 billion, a 20 percent increase. REC’s net profit for the FY 24 was Rs 140.19 billion, representing a significant 27 percent increase from Rs 110.55 billion in the prior fiscal year. Additionally, the company’s total comprehensive income increased to Rs 150.63 billion compared to Rs 100.84 billion in FY23, a 49 per cent increase. REC’s market capitalisation experienced a significant 290 per cent increase, reaching Rs 1,187.57 billion from Rs 304 billion in the prior fiscal year. This surge indicates strong investor confidence in the company’s growth outlook.
A number of variables were cited as contributing to REC’s success, including raising asset quality, resetting lending rates, resolving stressed assets effectively, and managing financing expenses wisely. The company’s operational effectiveness and strategic vision are demonstrated by its highest-ever annual profit after tax of Rs 140.19 billion. REC showed a dedication to shareholder value in addition to its financial performance by announcing a final dividend of Rs 5 per equity share for FY 2023–2024, for a total dividend of Rs 16 per equity share for the year.
