Earnings Review
REC Jul-Sept PAT up 11% on healthy interest, fee income
This story was originally published at 20:30 IST on 17 October 2025
Register to read our real-time news.Informist, Friday, Oct. 17, 2025
Please click here to read all liners published on this story
--REC Jul-Sept net profit INR 44.26 bln
--Analysts saw REC Jul-Sept net profit at INR 43.56 bln
--REC Jul-Sept net profit INR 44.26 bln vs INR 40.05 bln year ago
--REC Jul-Sept total income INR 150.95 bln vs INR 135.96 bln year ago
--REC Apr-Sept net profit INR 88.77 bln vs INR 74.48 bln year ago
--REC Apr-Sept total income INR 298.28 bln vs INR 266.33 bln year ago
--REC to pay INR 4.60 per share interim dividend
--REC interim dividend record date is Oct 27
By Pallavi Singhal and Sagar Sen
NEW DELHI – REC Ltd.'s net profit rose nearly 11% year on year to INR 44.3 billion in the July-Sept quarter, driven by an 8% increase in total interest income. However, profit dipped marginally sequentially as the last quarter had seen a significant write-back of INR 6.2 billion. The company's interest income was INR 145.8 billion in Jul-Sept, up marginally sequentially.
The power sector financier's total income rose 11% during the reporting quarter to INR 151 billion. The company released its financial results after market hours. On Friday, shares of the company closed at INR 374.95 on the National Stock Exchange, down 0.7% from the previous close.
The bottom line was broadly in line with the Street view. Analysts tracking the company had expected a healthy profit in the September quarter owing to steady business growth and strong net interest income growth. REC's net profit was expected to rise 9% on year to INR 43.56 billion.
Fee and commission income of the lender in the September quarter increased 10 times to INR 4.74 billion from INR 483 million last year. The company's healthy interest income comes at a time when its management is diversifying its fund-raising portfolio to lower their cost of borrowing and maintain interest margin.
In terms of expenses, finance cost, which is the largest component, increased 7% during the reporting quarter to INR 91.3 billion. Impairment on financial instruments during the quarter was INR 1.3 billion against a write back of INR 1.4 billion a year ago. Expenses on employee benefit also rose marginally to INR 600 million.
In the first six months of the current financial year, the lender's net profit grew 19% to INR 88.77 billion. While total income increased 12% on year to INR 298 billion in Apr-Sept, total expenses increased 8% on year to INR 186 billion.
The company declared interim dividend of INR 4.60 per share. The record date for the interim dividend is Oct. 27. End
Edited by Akul Nishant Akhoury
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.
Informist Media Tel +91 (11) 4220-1000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2025. All rights reserved.
To read more please subscribe
Share this Story:
