REC Q1 Results: Net Profit Jumps 29% to ₹4,465.71 Crore, Revenue Grows 12.6%

Market Performance

REC has delivered a solid financial performance for the quarter ended June 2025. The REC Q1 Results reflect a significant jump in both net profit and revenue, driven by steady operational momentum and disciplined financial management.

The company’s robust showing positions it as a strong player in the Indian power finance sector, backed by healthy capital metrics and improved asset quality.

Main Highlights from REC Q1 Results

• Net Profit: ₹4,465.71 crore
  • Up 29% YoY from ₹3,460.19 crore
  • Sequential growth of 3.6% from ₹4,309.98 crore in Q4FY25
• Total Revenue: ₹14,731.45 crore
  • Increased 12.6% YoY from ₹13,078.66 crore
• Net Worth: ₹80,440.44 crore
  • Rose from ₹72,936.19 crore YoY
• Capital Adequacy Ratio (CRAR): 23.98%
• Debt-Equity Ratio: 6.31
• Debt-to-Assets Ratio: 0.80

Company Financials Breakdown

Revenue

In Q1FY26, REC posted a consolidated revenue of ₹14,731.45 crore. This marks a 12.6% increase compared to ₹13,078.66 crore in Q1FY25. The rise in revenue was primarily supported by consistent operational gains and favourable interest earnings.

Net Profit

The consolidated net profit surged to ₹4,465.71 crore in Q1FY26, a 29% jump from ₹3,460.19 crore in the year-ago quarter. Compared to Q4FY25, the profit rose 3.6%, indicating sustained performance across quarters.

Net Worth

REC's consolidated net worth stood at ₹80,440.44 crore as of June 30, 2025. This represents a strong rise from ₹72,936.19 crore in the same quarter last year, reinforcing the company’s financial stability.

Asset Quality & Ratios

• Gross Credit Impaired Assets: Improved to 1.05% from 2.61% YoY
• Net Credit Impaired Assets: Down to 0.24% from 0.82% YoY
• Provision Coverage Ratio: Maintained at robust levels

These improvements signal REC's continued focus on prudent asset management and risk control.

Dividend Announcements

REC has announced two dividend payouts:

• First Interim Dividend FY26:
  • ₹4.60 per equity share (face value ₹10)
  • Record Date: August 1, 2025
  • Payout by: August 21, 2025
• Final Dividend FY25 (Proposed):
  • ₹2.60 per equity share (subject to AGM approval)
  • Record Date: August 14, 2025

These dividend declarations reflect REC’s commitment to rewarding its shareholders consistently.

Company Details

REC Limited is a public Infrastructure Finance Company under the Ministry of Power. It primarily funds power sector projects, including generation, transmission, and distribution. The company's strong Q1FY26 numbers highlight its role as a dependable institution in the power financing ecosystem.

Summary of the Article

The REC Q1 Results indicate a strong financial performance backed by double-digit growth in both net profit and revenue. The company has also demonstrated improved asset quality, stronger capital ratios, and continued shareholder value through dividends.

With ₹4,465.71 crore net profit and ₹14,731.45 crore revenue, REC has set a solid foundation for the fiscal year 2025–26. The robust numbers, paired with healthy credit metrics, place REC in a favourable position within the power finance sector.