REC Limited reported a 23% quarter-on-quarter rise in net profit to ₹4,149 crore for Q1 FY2026-27 and announced a first interim dividend of ₹4.25 per share. The company also strengthened its loan book, renewable energy portfolio, and maintained strong capital adequacy, reflecting robust financial performance.
Key Highlights
- Net profit rises 23% to ₹4,149 crore in Q1 FY27.
- First interim dividend of ₹4.25 per equity share approved.
- Standalone loan book reaches ₹5.90 lakh crore, the largest among CPSU-NBFCs.
- Renewable energy portfolio grows to ₹78,596 crore, accounting for 13.32% of total loans.
New Delhi, July 24: REC Limited has reported a strong financial performance for the first quarter of FY2026-27, with its net profit increasing 23% to ₹4,149 crore from ₹3,362 crore in the previous quarter. The company’s Board of Directors also declared the first interim dividend of ₹4.25 per equity share (face value ₹10), reaffirming its commitment to delivering consistent returns to shareholders.
The company posted a 5% increase in net interest income, which rose to ₹5,212 crore compared to ₹4,961 crore in the previous quarter. REC maintained a healthy Net Interest Margin (NIM) of 3.34%, while delivering an annualised earnings per share (EPS) of ₹63.04, highlighting the resilience of its lending business and disciplined financial management.
REC’s standalone loan book expanded to ₹5.90 lakh crore as of June 30, 2026, making it the largest among Central Public Sector Undertaking Non-Banking Financial Companies (CPSU-NBFCs) in India. The company’s net worth grew 15% year-on-year to ₹91,836 crore, supported by sustained profitability and a strong balance sheet.
The company’s focus on sustainable financing continued to gain momentum, with its renewable energy portfolio increasing to ₹78,596 crore, representing 13.32% of the overall loan portfolio. Meanwhile, its infrastructure and logistics portfolio reached ₹59,289 crore, accounting for more than 10% of total loan assets, reflecting REC’s expanding role in India’s infrastructure development.
REC further strengthened its asset quality by reducing its Stage-3 loan asset ratio to just 0.11%, nearly eliminating stressed assets from its portfolio. The company also maintained a Capital Adequacy Ratio (CRAR) of 23.06%, significantly above the Reserve Bank of India’s minimum requirement of 15%, providing ample capacity to support future business growth.
During the quarter, REC also earned industry recognition by receiving the ‘NBFC of the Year’ Award at the 3rd Annual Bharat NBFC & FinTech Summit & Awards 2026 and the ‘AI & GenAI Adoption Excellence Award’ at the 2nd Bharat PSU Manthan & Excellence Awards 2026. The company said it will continue expanding investments in power, renewable energy, infrastructure and logistics, while supporting key Government of India initiatives and reforms.
With strong earnings growth, a record loan book, improved asset quality and continued investments in renewable energy, REC has reinforced its position as one of India’s leading infrastructure financing institutions while delivering attractive returns to shareholders.
