New Delhi: Power Finance Corporation (PFC) reported steady financial growth for the first quarter of FY2026-27, with standalone net profit rising 5.4% year-on-year to ₹4,745 crore, compared with ₹4,502 crore in Q1 FY2026.
The Board of Directors also declared an interim dividend of ₹3.90 per share. The record date for determining eligible shareholders has been fixed as August 27, 2026, while the dividend is expected to be paid on or before September 6, 2026.
PFC Q1 FY2027 Financial Performance
PFC recorded growth in profit before tax and net profit during the quarter, while revenue from operations increased moderately.
Key Financial Highlights
- Revenue from Operations: ₹13,993 crore, up 1.6% YoY
- Profit Before Tax: ₹5,913 crore, up 7.3%
- Net Profit: ₹4,745 crore, up 5.4%
- EPS: ₹14.38, compared with ₹13.64 in Q1 FY2026
- Interim Dividend: ₹3.90 per share
The company’s resilient earnings were supported by its strong balance sheet and healthy asset quality.
Read also: PFC Transfers Two Renewable Energy Transmission SPVs to Apraava Energy and Power Grid
PFC Asset Quality Remains Strong
PFC maintained healthy asset quality during the quarter, with credit-impaired assets remaining at relatively low levels.
Asset Quality and Capital Strength
- Gross Credit Impaired Assets: 1.11%
- Net Credit Impaired Assets: 0.15%
- Capital Adequacy Ratio (CRAR): 23.35%
- Net Worth: ₹1,08,548 crore
- Debt-Equity Ratio: 4.34 times
- Loan Outstanding: ₹5.70 lakh crore
- Stage-3 Asset Impairment Coverage: 86%
The company’s strong capital adequacy provides a solid foundation to support lending growth in the power and renewable energy sectors.
Board Declares ₹3.90 Interim Dividend
PFC’s Board declared an interim dividend of ₹3.90 per share, offering shareholders a direct return from the company’s quarterly performance.
PFC Chairman and Managing Director Parminder Chopra said the dividend reflects the company’s focus on delivering sustained value to shareholders.
The record date is August 27, 2026, and the dividend will be paid on or before September 6, 2026.
The company has also stated that the dividend will be paid only through electronic mode. Shareholders have been advised to ensure that their bank details are updated for receiving the payment.
PFC-REC Merger Scheme Update
PFC also highlighted the previously approved Draft Scheme for the merger of REC into PFC.
Under the proposed scheme, the share swap ratio has been fixed at 88:100.
The merger forms part of the company’s broader strategic plans and remains subject to the applicable regulatory and statutory processes.
No Default on Borrowings
PFC confirmed that there was no default on any of its borrowings during the reporting period.
The company also stated that all its secured non-convertible debentures (NCDs) were fully covered with the required security margin.
These factors highlight the company’s continued focus on maintaining financial discipline and a strong credit profile.
PFC Positioned for Power and Renewable Energy Growth
PFC said its strong fundamentals and capital position place it in a favourable position to tap emerging opportunities in the power and renewable energy sectors.
Parminder Chopra said the company continues to demonstrate resilient performance despite a dynamic financing environment, supported by a robust balance sheet and healthy asset quality.
With strong capitalisation and a focus on long-term growth, PFC aims to expand its role in financing India’s evolving power and clean energy infrastructure.
About Power Finance Corporation
Power Finance Corporation (PFC) is a Government of India-owned non-banking financial company (NBFC) and one of the country’s largest infrastructure finance institutions. Established in 1986 under the Ministry of Power, PFC primarily provides financial assistance for projects across the power sector, including generation, transmission, distribution, renewable energy, and other infrastructure segments.
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