One of the top financiers of power projects in the country, REC Ltd, has reported its highest-ever quarterly profit of Rs 3,001 crore during January-March period of FY23 recording 31 percent year-on-year jump.
REC Limited’s Board of Directors approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2023, on Wednesday. Because of better asset quality and the resolution of stressed assets, REC has achieved its greatest quarterly and yearly profits of 3,001 crores and 11,055 crores, respectively.
As a result, earnings per share for the fiscal year ended March 31, 2023, are 41.86, up from 38.02 per share on March 31, 2022. Profit growth has contributed to a 13% increase in its net worth to 57,680 crores as of March 31, 2023.
The loan book has maintained its growth trajectory, increasing by 13% to 4.35 lakh crores from 3.85 lakh crores on March 31, 2022. As of March 31, 2023, the Net Credit-impaired assets had decreased to 1.01%, with a Provision Coverage Ratio of 70.64% on NPA assets.
The Company’s Capital Adequacy Ratio is a comfortable 25.78% as of March 31, 2023, signalling a considerable opportunity to sustain future expansion.
Operational and Financial Highlights –12M FY23 vs 12 FY22 (Standalone)
Disbursements: ₹ 96,846 crores vs. ₹ 64,150 crores
Interest Income on Loan Assets: ₹ 38,360 crores vs. ₹ 37,811 crores, up 1%
Net Profit: ₹ 11,055 crores vs. ₹ 10,046 crores, up 10%
