New Delhi, May 8 (PTI) State-owned REC Ltd on Thursday reported a 5.66 per cent rise in net profit to Rs 4,309.98 crore for the January-March quarter of FY25 driven by higher interest income.
The power sector financier had posted a net profit of Rs 4,079.09 crore in the January-March period of 2023-24.
Total income, which also includes interest income, increased to Rs 15,348.37 crore in the fourth quarter of FY25 from Rs 12,706.66 crore in the same period a year ago, according to an exchange filing by the company.
The company's interest income rose by 21 per cent to Rs 14,947.26 crore in the March quarter from Rs 12,390.16 crore in January-March FY24.
The board of directors recommended a dividend of Rs 2.60 for 2024-25.
This is in addition to the interim dividend of Rs 15.40/- per equity share already declared during the FY25 in four tranches thereby making the total dividend for the fiscal to Rs 18 per share on face value of Rs 10 each.
The board also gave a go-ahead to the formation of a Joint Venture between its wholly owned subsidiary REC Power Development and Consultancy Limited (RECPDCL) and BHEL in the shareholding ratio of 50:50 for joint development of renewable energy/other power and infrastructure projects.
For the entire FY25, net profit increased to Rs 15,884.23 crore from Rs 14,145.46 crore in FY24. Total income rose to Rs 56,434 crore in FY25 from Rs 47,571.23 crore in FY24. Interest income rose to Rs 51,105.20 crore from Rs 46,431.44 in the last financial year.
In a statement, the company said the Earnings Per Share (EPS) for the year ended March 31, 2025 accelerated to 259.55 (Annualized) per share as against 253.11 per share as at March 31, 2024.
The loan book or Asset Under Management has maintained its growth trajectory and has increased on a sustained basis to Rs 25.66 lakh crore as of March 31, 2025, against Rs 25.09 lakh crore as of March 31, 2024.
Further, the Net credit-impaired assets reduced to 0.38 per cent from 0.86 per cent post-resolution of five credit-impaired loan assets having an aggregate amount of Rs 26,171 crore during the FY 2024-25.
Aided by growth in profits, the net worth has grown to Rs 2,77,638 crore as of March 31, 2025, as compared to Rs 2,68,783 crore as of March 31, 2024, registering an increase of 13 per cent YoY.
REC Ltd under the Ministry of Power, provides long-term loans and other finance products for the power-infrastructure sector, renewable energy and new technologies like electric vehicles, battery storage, green hydrogen etc.