The Board of Directors of REC Limited, today approved the limited reviewed standalone and consolidated financial results for the period ended December 31, 2024.
Operational and Financial Highlights: Q3 FY25 vs Q3 FY24 (Standalone)
– Net Profit: ₹4,029 crore Vs ₹3,269 crore, up by 23%
– Net interest income: ₹4,930 crore Vs ₹4,153 crore, up by 19%
– Net credit-impaired assets reduced to 0.74% from 0.82%
– Revenue from operations: ₹14,157 crore Vs ₹11,982 crore, up by 18%
– Disbursements: ₹54,692 crore Vs ₹46,358 crore, up by 18%
– Total income: ₹14,173 crore Vs ₹12,000 crore, up by 18%
– Average cost of funds: 7.18% Vs 7.28%, reduction by 10 bps
– Spread: 2.95% Vs 2.85%, up by 10 bps
– Net interest margin: 3.66% Vs 3.61%, up by 5 bps
Operational and Financial Highlights: 9M FY25 vs 9M FY24 (Standalone)
– Net Profit: ₹11,477 crore Vs ₹10,003 crore, up by 15%
– Net interest income: ₹14,191 crore Vs ₹11,422 crore, up by 24%
– Revenue from operations: ₹40,752 crore Vs ₹34,533 crore, up by 18%
– Disbursements: ₹1,45,647 crore Vs ₹1,22,089 crore, up by 19%, of which disbursements to renewables constituted:
₹17,612 crore Vs ₹9,858 crore, i.e. with YoY increase of 79%
– Total income: ₹40,805 crore Vs ₹34,571 crore, up by18%
– Spread: 2.94% Vs 2.82%, up by 12 bps
– Net interest margin: 3.64% Vs 3.52%, up by 12 bps
– Return on net worth: 21.07%
– Market capitalization: ₹1,31,844 crore Vs ₹1,08,712 crore, up by 21%
Owing to growth in all the verticals, resetting of interest rates on loan assets and effective management of Finance Cost, REC is able to maintain its spreads and NIMs resulting in robust profit after tax of ₹11,477 crore for the period ending December 31, 2024. As a result, the Earnings Per Share (EPS) for the period ended December 31, 2024 accelerated to ₹58.11 (Annualized) per share as against ₹50.65 per share as at December 31, 2023.
The loan book i.e. Asset Under Management (AUM) has maintained its growth trajectory and has increased on sustained basis to ₹5.65 lakh crore as against ₹4.97 lakh crore as at December 31, 2023.
Aided by growth in profits, the Net Worth has grown to ₹76,502 crore as on December 31, 2024, as compared to ₹64,787 crore as on December 31, 2023 registering an increase of 18% YoY.
Indicating the ample opportunity to support the future growth, the Capital Adequacy Ratio (CRAR) of the Company stands at a comfortable 25.33% as at December 31, 2024.
Continuing with the tradition to reward its shareholders, the Board of Directors of the Company has declared the 3rd interim dividend of ₹4.30 per equity share (on face value of ₹10/- each).