Mumbai: Power Finance Corporation Limited (PFC), India’s leading power sector financier, reported a strong financial performance for the third quarter of FY2025-26, with standalone net profit rising 15% year-on-year to ₹4,763 crore, supported by robust loan growth, stable asset quality, and a strong capital position.
The Board of Directors also declared a third interim dividend of ₹4 per equity share, taking the total interim dividend for FY26 to ₹11.35 per share.
Q3 FY26 Financial Highlights (Standalone)
- Net Profit: ₹4,763 crore (up 15% YoY)
- Revenue from Operations: ₹14,656 crore
- Profit Before Tax (PBT): ₹5,957 crore
- Earnings Per Share (EPS): ₹14.43
- Net Profit Margin: 32.49%
PFC’s interest income increased significantly to ₹13,936 crore, compared to ₹12,417 crore in the same quarter last year, reflecting sustained growth in lending activities.
Read also: PFC Launches Third Public Issue of Secured NCDs to Raise Up to Rs 5,000 Crore for Power Sector
Strong Nine-Month Performance (Apr–Dec 2025)
For the first nine months of FY26, PFC continued its upward momentum:
- Net Profit: ₹13,727 crore (up 12% YoY)
- Revenue from Operations: ₹43,185 crore
- PBT: ₹17,010 crore
- EPS: ₹41.59
Loan Book Growth and Improved Asset Quality
- Gross Loan Assets: ₹5,69,627 crore (as of December 31, 2025)
- Gross Stage 3 Assets Ratio: 1.64% (improved from 1.94% in March 2025)
- Stage 3 Provision Coverage: 84.23%
The company maintained prudent Expected Credit Loss (ECL) provisioning, validated by external agencies, highlighting disciplined risk management.
Strong Capital Adequacy and Financial Ratios
- Net Worth: ₹1,00,737 crore
- Capital Adequacy Ratio (CRAR): 22.39%
- Debt-to-Equity Ratio: 4.74 times
PFC’s CRAR remains well above regulatory requirements, providing a strong cushion for future growth.
Consolidated Results Reflect Group Strength
Including subsidiary REC Limited and other entities, consolidated performance remained robust:
- Q3 Consolidated Net Profit: ₹8,212 crore
- Consolidated EPS: ₹19.07
- Consolidated Loan Book: ₹11,51,407 crore
- Gross Stage 3 Ratio: 1.26%
Dividend Details and Key Disclosures
- Interim Dividend: ₹4 per equity share (40% on face value of ₹10)
- Record Date: February 20, 2026
- Dividend Payment: On or before March 6, 2026
Shareholders seeking lower or nil TDS are required to submit Form 15G/15H by February 20, 2026 through the RTA portal.
Fund Raising and Liquidity Position
In November 2025, PFC raised ₹7,986 crore through private placement of Non-Convertible Debentures (NCDs). The funds were utilized to support lending operations, strengthening liquidity and balance-sheet flexibility.
Management Outlook
PFC’s management remains optimistic, citing strong fundamentals, improving asset quality, and continued demand for power sector financing. The company expects sustainable growth supported by adequate capital buffers and prudent risk controls.
About Power Finance Corporation (PFC)
Power Finance Corporation Limited is a Maharatna CPSE under the Ministry of Power, Government of India. Established in 1986, PFC is a leading non-banking financial company (NBFC) specializing in financing India’s power and infrastructure sectors, playing a key role in strengthening the country’s electricity ecosystem and energy transition.
