New Delhi, April 27 REC Limited having Maharatna Status under the aegis of Ministry of Power reported its highest-ever annual net profit of ₹16,282 crore for FY26, driven by strong loan growth, improved asset quality, and a turnaround in India’s power distribution sector.
The company’s loan book rose by around ₹17,000 crore to an all-time high of ₹5.84 lakh crore as of March 31, 2026. Renewable energy financing remained a key growth driver, with the renewable loan book expanding 30% year-on-year to ₹75,347 crore.
REC highlighted a significant improvement in asset quality, with Net Stage-3 assets (NPAs) nearly eliminated at 0.12%, while Stage-2 loans declined 75% YoY. The company attributed this to improved financial health of power distribution companies and sector-wide reforms by the Government of India.
Operational performance remained strong, with sanctions rising 21% to ₹4.09 lakh crore and disbursements increasing 10% to ₹2.11 lakh crore. Net worth grew 9% to ₹84,290 crore, while the capital adequacy ratio stood robust at 23.11%.
Margins remained healthy, with interest spread at 2.62% and net interest margin at 3.43%. Earnings per share increased to ₹61.71.
The board declared a final dividend of ₹1.55 per share, taking the total FY26 dividend to ₹18.55 per share.
REC also retained its ‘Maharatna’ status and secured an ‘Excellent’ MoU rating for the third consecutive year. The company ranked 5th among profit-making CPSEs in the latest DPE survey.
With a continued focus on ESG and renewable financing, REC achieved the highest NSE ESG rating among Indian companies, reinforcing its commitment to sustainable growth.
