New Delhi: Indian Railway Finance Corporation (IRFC), the dedicated financing arm of Indian Railways, announced its financial results for the second quarter (Q2) of the fiscal year 2025-26. The company reported a profit of ₹1777 crore, marking a notable increase from ₹1613 crore in the same quarter last year, reflecting a healthy year-on-year (YoY) growth.
However, IRFC’s total revenue declined slightly to ₹6372 crore, compared to ₹6899 crore during Q2 of the previous fiscal year. This dip indicates some pressure on the company’s top-line, although the strong profit growth suggests effective cost management and operational efficiency.
Interim Dividend Declared for Shareholders
IRFC declared an interim dividend of ₹1.05 per share for its shareholders, underlining its commitment to rewarding investors consistently. The company has maintained a steady dividend payout policy in recent years, boosting investor confidence in this government-owned financial institution.
To highlight, IRFC had previously declared dividends of ₹0.80 per share on 24 October 2025, 21 March 2025, and 12 November 2024. It also paid ₹0.70 per share on 22 August 2024 and ₹0.80 per share on 10 November 2023. This consistent dividend track record positions IRFC as a reliable source of steady returns for its shareholders.
Positive Financial Metrics: Net Interest Margin and Market Performance
The company reported a Net Interest Margin (NIM) of 1.55%, signaling a positive balance between interest income and interest expenses. This stable NIM highlights IRFC’s strong financial health and ability to manage its borrowing and lending operations effectively.
Following the earnings announcement, IRFC’s stock witnessed a mild upward trend, gaining 0.68% to close at ₹125.35 on October 15, 2025. The stock opened at ₹125.40, hitting an intraday high of ₹128.50 and a low of ₹124.70. Over the past 52 weeks, IRFC’s stock has traded between a low of ₹108.05 and a high of ₹166.85.
Market Capitalization and Key Financial Indicators
On the trading day, the company recorded a turnover of ₹8.83 crore, with a market capitalization of approximately ₹1,63,813.72 crore. IRFC is a constituent of the BSE 200 index in the financial institutions sector and has a fully diluted equity face value of ₹10 per share.
The company posted an earnings per share (EPS) of ₹5.10 on a quarterly basis, with a price-to-earnings (PE) ratio of 24.39, making it an attractive investment option for market participants.
About (IRFC)
Established as the dedicated financing arm of Indian Railways, IRFC is the largest issuer of public sector bonds in India. The corporation’s primary role is to raise funds from the market to finance the acquisition of rolling stock assets, infrastructure, and other railway projects.
IRFC’s consistent dividend payouts and strong financial performance have established it as a reliable government-backed investment avenue. The company’s presence in the financial institutions sector, combined with its strategic importance to India’s transport infrastructure, makes it a key player in India’s growth story.
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