Delhi: REC Limited, a Maharatna public sector enterprise under the Ministry of Power, has announced robust financial performance for the nine months ended December 31, 2025, along with the declaration of its third interim dividend of ₹4.60 per equity share. With this, the total interim dividend for FY 2025-26 stands at ₹13.80 per share, reaffirming the company’s consistent commitment to rewarding its shareholders.
The decision was taken at the meeting of the Board of Directors, which approved the limited reviewed standalone and consolidated financial results for the quarter and nine-month period ended December 31, 2025.
Highest-Ever Nine-Month Profit After Tax
REC reported its highest-ever profit after tax (PAT) for the nine-month period at ₹12,920 crore, registering a 13% increase compared to ₹11,477 crore in the corresponding period of the previous financial year.
The strong performance was supported by healthy growth across key operational and financial parameters, reflecting REC’s sustained lending momentum and improved asset quality.
Strong Growth in Income and Lending Operations
For the nine months ended December 31, 2025, REC recorded:
- Net Interest Income (NII): ₹15,677 crore, up 10% from ₹14,191 crore
- Revenue from Operations: ₹44,641 crore, up 10% from ₹40,752 crore
- Total Income: ₹44,781 crore, up 10% from ₹40,805 crore
- On the operational front, the company posted strong growth in lending activity:
- Disbursements: ₹1,65,458 crore, a rise of 14% over ₹1,45,647 crore
- Sanctions: ₹3,33,354 crore, marking a 23% increase over ₹2,71,814 crore
Improved Asset Quality and Stable Margins
REC’s asset quality continued to improve, with net credit-impaired assets declining sharply to 0.20%, compared to 0.74% in the previous year.
The company successfully maintained:
- Spread: 2.73%
- Net Interest Margin (NIM): 3.52%
As a result, annualised Earnings Per Share (EPS) for the period ended December 31, 2025 increased by 13% to ₹65.42, compared to ₹58.11 as on December 31, 2024.
Loan Book Expansion on a Sustainable Basis
REC’s loan book continued its steady growth trajectory, reaching ₹5.82 lakh crore, demonstrating sustainable expansion.
The company’s continued efforts to strengthen its term loan portfolio (excluding RBPF and Stage-3 loan assets) resulted in a 10% year-on-year growth. Consequently:
- RBPF loan book reduced by 55%
- Stage-3 loan assets declined by 54% on a year-on-year basis
- Strong Capital Position and Net Worth Growth
- REC maintained a robust capital position, providing ample headroom for future growth.
- Capital Adequacy Ratio (CRAR): 24.26% as on December 31, 2025
- Net Worth: ₹86,262 crore, up 13% from ₹76,502 crore a year earlier
The improvement in net worth was aided by consistent profitability and prudent capital management.
Third Interim Dividend for FY26
Continuing its long-standing tradition of shareholder value creation, the Board declared a third interim dividend of ₹4.60 per equity share (face value ₹10 each). This takes the total interim dividend for FY 2025-26 to ₹13.80 per share.
About REC Limited
REC Limited is a Maharatna Central Public Sector Enterprise under the administrative control of the Ministry of Power, Government of India. The company is registered with the Reserve Bank of India as a Non-Banking Finance Company (NBFC), Public Financial Institution (PFI), and Infrastructure Financing Company (IFC).
REC finances the entire power infrastructure value chain, including:
- Power Generation, Transmission and Distribution
- Renewable Energy
- Electric Vehicles
- Battery Storage and Pump Storage Projects
- Green Hydrogen and Green Ammonia
In recent years, REC has diversified into the non-power infrastructure sector, covering roads and expressways, metro rail, airports, IT and communication infrastructure, educational institutions, hospitals, ports, and electro-mechanical works for sectors such as steel and refining.
REC plays a strategic role in implementing key government schemes and has served as the nodal agency for initiatives such as Saubhagya, DDUGJY, National Electricity Fund, Revamped Distribution Sector Scheme (RDSS), and PM Surya Ghar Muft Bijli Yojana, contributing significantly to last-mile electrification and infrastructure development across the country.
Read also: REC Limited Holds Chintan Shivir 2026 to Strengthen Strategic Alignment and Future Initiatives
