REC Reports Strong Q1 with 29% Profit Surge and Accelerated Green Financing Momentum – EQ
In Short : REC Ltd posted a 29% jump in Q1 net profit to ₹4,451 crore, supported by a 36% rise in disbursements to ₹59,508 crore. Total income stood at ₹12,101 crore. The strong performance reflects REC’s expanding role in financing India’s power and infrastructure sectors, with increasing emphasis on clean energy and sustainable development projects.
In Detail : REC Ltd has reported a significant rise in its consolidated net profit for the first quarter of the financial year. The profit increased by 29% year-on-year to ₹4,451 crore, reflecting strong operational and financial performance.
The rise in profitability is attributed to robust growth in the company’s lending and disbursement activities during the quarter. REC continues to play a crucial role in financing India’s energy and infrastructure development.
Total disbursements for the quarter stood at ₹59,508 crore, marking a 36% increase compared to the same period last year. This growth indicates strong demand for financing in the power and infrastructure sectors.
REC’s total income during the quarter rose to ₹12,101 crore, supported by higher interest income and a healthy loan book. The company’s financial position remains stable with consistent growth in earnings and revenue.
The company’s performance reflects its strategic focus on supporting the energy transition in India. It has increased financing to renewable energy and green infrastructure projects, in line with national sustainability goals.
REC has also diversified its lending portfolio, with a growing share of loans going toward transmission, distribution, and non-conventional energy segments. This diversification has helped mitigate risks and improve returns.
The management highlighted that REC remains committed to enabling key infrastructure and power projects across the country. Its growing role in clean energy financing is expected to further strengthen its position.
The company’s emphasis on financial prudence, combined with increased loan recovery efficiency, has contributed to its improved margins and profitability during the quarter.
REC’s Q1 results demonstrate resilience and adaptability in a changing energy landscape. The company is well-positioned to support India’s long-term power and infrastructure needs, especially in the areas of sustainability and renewable energy.
