New Delhi: Indian Railway Finance Corporation Ltd (IRFC), a Navratna Central Public Sector Enterprise under the Ministry of Railways, has announced its strongest-ever quarterly financial results for the first quarter (Q1) of the financial year 2025-26. The company reported record income and profit figures, underscoring its robust financial health and strategic growth.
Record Income and Profit Growth
In its Board meeting held on Tuesday, IRFC approved unaudited financial results for the quarter ended June 30, 2025. The company posted a total income of Rs 6,918.24 crore, surpassing the Rs 6,766.03 crore recorded in Q1 of the previous fiscal year. This marks the highest-ever quarterly income in IRFC’s history.
The Profit After Tax (PAT) rose by 10.71% year-on-year to Rs 1,745.69 crore, up from Rs 1,576.83 crore in Q1 FY 2024-25, also setting a new record for the company.
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Strong Financial Metrics and Operational Efficiency
IRFC reported a net interest margin of 1.53% (annualized), the best in the past three years, driven by improved lending spreads and stringent cost control measures. The company’s book value per share stood at Rs 41.65, while its net worth reached an all-time high of Rs 54,423.96 crore.
The company also maintained a healthy debt-to-equity ratio of 7.44 and reported zero non-performing assets (NPAs), reflecting excellent asset quality and risk management. IRFC continues to operate with some of the lowest overhead costs in the industry, contributing to its strong profitability.
Leadership Commentary
Commenting on the performance, IRFC CMD Manoj Kumar Dubey said,
“Our performance this quarter reflects the robustness of IRFC’s financial strategy and its critical role in advancing the infrastructure goals of Indian Railways. As the sector undergoes unprecedented transformation, we are committed to driving financial innovation and maintaining operational excellence.”
He added,
“This quarter reaffirms our ability to secure attractive capital costs in the NBFC ecosystem and share those benefits with our customers. Our competitive edge, defined by low costs, zero NPAs, and stable cash flows, helps us forge lasting partnerships beyond pricing.”
Read Also: IRAS Officer Randhir Sahay Assigned Addl Charge as Director (Finance) at IRFC
Impact of Navratna Status
This quarter marks IRFC’s first full-quarter financial results since being granted Navratna status earlier this year, which has given the company greater autonomy in strategic operations and investment decisions. This status is expected to further empower IRFC to expand its role in financing India’s railway infrastructure development.
About IRFC
The Indian Railway Finance Corporation (IRFC) is a leading Public Sector Undertaking (PSU) under the Ministry of Railways. It is responsible for mobilizing financial resources to support the development and operations of Indian Railways. The Government of India holds a majority stake in the company.