REC Limited has announced its financial results for the first quarter (Q1) of the financial year (FY) 2025-26, ending June 30, 2025. On a standalone basis, the net profit increased by 29 per cent from Rs 34.42 billion in Q1 FY 2024-25 to Rs 44.51 billion in Q1 FY 2025-26. Disbursements grew by 36 per cent year-on-year (YoY), rising from Rs 436.52 billion to Rs 595.08 billion, with a 35 per cent increase in disbursements to the renewable energy sector. The total income rose by 13 per cent YoY, from Rs 130.37 billion to Rs 147.34 billion. Net interest income increased by 17 per cent YoY, from Rs 44.74 billion to Rs 52.47 billion. Return on net worth improved to 22.63 per cent from 19.51 per cent, up by 312 basis points.
The company maintained its spread at 2.96 per cent and net interest margin at 3.74 per cent. Annualised earnings per share rose by 29 per cent to Rs 67.60 in Q1 FY 2025-26, from Rs 52.28 during the same period in the previous year. The loan book expanded steadily to Rs 5.85 trillion, up from Rs 5.3 trillion as of June 30, 2024. Asset quality showed improvement, with net credit-impaired assets reducing to 0.24 per cent from 0.82 per cent. The provision coverage ratio on non-performing assets stood at 77.05 per cent.
The company’s net worth increased to Rs 796.88 billion as of June 30, 2025. Furthermore, the board of directors declared the first interim dividend of Rs 4.60 per equity share, with a face value Rs 10 each, for FY 2025-26.
