REC Ltd Secures 5th Position in Net Profit Parameters Among All CPSEs for FY 2024–25
REC Limited, a Maharatna Central Public Sector Enterprise (CPSE) under the administrative control of the Ministry of Power, has recorded a notable achievement by securing the 5th position in Net Profit parameters among all CPSEs as per the Public Enterprise Survey Report for FY 2024–25, published by the Department of Public Enterprises (DPE). This performance places REC among the top-performing public sector enterprises in the country, reflecting its consistent financial strength and disciplined operational approach.
In addition to this ranking, REC Limited has achieved an ‘Excellent’ Memorandum of Understanding (MoU) rating for the financial year 2024–25. The MoU was signed with its holding company, Power Finance Corporation Limited (PFC), and the rating has been awarded by the DPE, Ministry of Finance, in accordance with the prescribed performance evaluation guidelines. Significantly, this marks the third consecutive year that REC has secured the ‘Excellent’ rating, underlining the organisation’s sustained momentum in both financial and operational performance.
The MoU framework instituted by the Government of India serves as a key performance evaluation mechanism for CPSEs. It is designed to assess the extent to which enterprises achieve the core objectives for which they were constituted. Over time, the framework has evolved to move away from effort-based assessment toward a sharper focus on measurable economic outcomes, efficiency, and value creation, in alignment with government priorities and shareholder interests. Performance parameters under the MoU are benchmarked against historical trends, future growth projections, sectoral best practices, and the strategic vision of the concerned administrative ministry—in REC’s case, the Ministry of Power.
REC’s latest evaluation highlights its robust financial health, prudent risk management, and superior asset quality. The assessment has been driven by several key pillars, including sustained profitability, high operational efficiency, strong market competitiveness, and adherence to ethical corporate governance standards. As a leading Non-Banking Financial Company (NBFC) focused on the power and infrastructure sectors, REC has continued to maintain a balanced growth strategy while supporting national priorities in energy development.
Separately, the Public Enterprise Survey conducted annually by the DPE provides a consolidated snapshot of the financial performance of CPSEs across the country. In the FY 2024–25 survey, REC has secured commendable positions across multiple financial indicators, with its 5th rank in net profit standing out as a clear indicator of consistent value creation. These rankings reaffirm REC’s focus on financial discipline, operational resilience, and long-term sustainability, even amid evolving market and policy environments.
With this validation of performance through both the MoU rating and the Public Enterprise Survey, REC Limited continues to consolidate its position as a premier public sector financier in India’s power sector. Its role in strengthening power infrastructure, supporting energy transition initiatives, and contributing to sustainable economic growth remains significant. Such developments continue to feature prominently in Indian Bureaucracy News, with indianbureaucracy.com serving as a key reference platform for updates related to CPSE performance, governance, and leadership trends .