New Delhi: State-owned Power Finance Corporation (PFC), a leading public sector undertaking in India’s energy financing sector, on Friday reported a nearly 9 percent rise in its consolidated net profit to ₹7,834.39 crore for the September quarter of FY 2025-26, up from ₹7,214.90 crore in the same quarter last year, driven largely by higher revenues.
Revenue Growth and Dividend Announcement
Total income for the quarter surged to ₹28,901.22 crore from ₹25,754.73 crore a year ago. Reflecting confidence in the company’s performance, PFC declared an interim dividend of ₹3.65 per share, taking the cumulative interim dividend for FY 2025-26 to ₹7.35 per share. The company has set November 26, 2025, as the record date for determining shareholders eligible for the second interim dividend.
Strong Half-Year Performance
PFC’s consolidated Profit After Tax (PAT) rose 17 percent to ₹16,816 crore in H1 FY26 from ₹14,397 crore a year earlier. Consolidated net worth, including non-controlling interest, increased by 15 percent to ₹1,66,821 crore, and the loan asset book grew nearly 10 percent to ₹11,43,369 crore. Asset quality also improved, with consolidated Net Non-Performing Assets (NPA) dropping to 0.30 percent, down from 0.80 percent, and gross NPA declining by 117 basis points to 1.45 percent.
On a standalone basis, PFC posted half-yearly PAT of ₹8,963 crore, up from ₹8,088 crore in H1 FY25, supported by a 23 percent increase in net interest income. The standalone loan asset book also grew 14 percent to ₹5,61,209 crore, with a notable 32 percent rise in the renewable loan portfolio to ₹84,679 crore.
Capital Adequacy and Strategic Partnerships
The company continues to maintain robust capital adequacy levels. As of September 30, 2025, the Capital to Risk (Weighted) Assets Ratio (CRAR) stood at 21.62 percent, with Tier 1 capital at 19.89 percent, well above regulatory requirements. Net worth rose 13.5 percent to ₹97,525 crore, while net NPA hit the lowest level in 10 years at 0.37 percent, and gross NPA dropped to 1.87 percent.
PFC has also strengthened its global funding partnerships, signing milestone agreements with Japan Bank for International Cooperation (JBIC) and Export Finance Australia (EFA), marking EFA’s first financing initiative in India.
Focus on Renewable Energy and Energy Transition
Highlighting its role in India’s energy transition, PFC’s Chairman and Managing Director, Parminder Chopra, noted that the company achieved the highest-ever half-yearly disbursement of ₹86,000 crore. The 32 percent year-on-year growth in the renewable portfolio demonstrates PFC’s commitment to supporting sustainable energy initiatives while maintaining strong asset quality and capital levels.
About PFC
Power Finance Corporation (PFC) is a leading public sector undertaking in India, providing financial assistance for power generation, transmission, and renewable energy projects. Established as a strategic enabler for India’s energy sector, PFC supports infrastructure development and energy transition through robust financing solutions, ensuring growth and sustainability in the country’s power ecosystem.
