New Delhi, India — April 28, 2026
India’s state-run power sector financier REC Limited has delivered a landmark financial performance for fiscal year 2025–26, reporting its highest-ever net profit of ₹16,282 crore and declaring a record total dividend of ₹18.55 per share.
The results, approved by the company’s board for the year ended March 31, 2026, underline strong momentum in India’s power and infrastructure financing ecosystem, supported by policy reforms and improving financial health across the sector.
Strong Growth Driven by Power Sector Turnaround
REC highlighted that India’s power sector is entering a phase of renewed stability, driven by sustained reforms initiated by the Government of India. Notably, previously loss-making power distribution companies have collectively turned profitable—marking a significant structural shift.
This transformation has improved asset quality across the sector and reduced risk premiums, allowing REC to pass on benefits to borrowers through more competitive lending rates.
Loan Book at All-Time High
The company’s total loan book surged to a record ₹5.84 lakh crore as of March 31, 2026, reflecting steady expansion without compromising asset quality. During the year, REC added approximately ₹17,000 crore to its loan portfolio.
A key highlight was the sharp growth in renewable energy financing. The renewable loan book rose 30% year-on-year to ₹75,347 crore, aligning with India’s clean energy ambitions.
Asset Quality Near Perfect
REC reported a near-zero level of stressed assets, with Net Stage-3 loans (NPAs) at just 0.12%, while Stage-2 loans declined by 75% year-on-year. This reflects improved credit discipline and sector-wide recovery.
Operational Highlights
- Sanctions: ₹4,09,097 crore (up 21% YoY)
- Disbursements: ₹2,11,189 crore (up 10% YoY)
- Disbursements (ex-RBPF): ₹1,46,227 crore (up 28% YoY)
- Net Worth: ₹84,290 crore (up 9% YoY)
- Capital Adequacy Ratio (CRAR): 23.11%
The company maintained a healthy interest spread of 2.62% and Net Interest Margin (NIM) of 3.43%, while earnings per share (EPS) rose to ₹61.71.
Record Dividend for Shareholders
Continuing its shareholder-friendly approach, REC’s board declared a final dividend of ₹1.55 per share, taking the total FY26 dividend to ₹18.55 per share, the highest in its history.
Rising PSU Rankings and Maharatna Status
REC’s consistent performance has strengthened its position among India’s top public sector enterprises. The company climbed from 9th to 5th place in net profit rankings among CPSEs, according to the Department of Public Enterprises survey.
Its prestigious Maharatna status was reaffirmed in January 2026, reflecting sustained excellence in financial and operational performance.
ESG Leadership and Sustainability Focus
Sustainability remains central to REC’s long-term strategy. The company has embedded Environmental, Social, and Governance (ESG) principles across operations, with a strong push toward renewable energy financing.
REC also secured the highest ESG rating among companies assessed in India by the National Stock Exchange of India, highlighting its leadership in sustainable finance.
