REC (RECLTD) Q3 24/25 earnings summary

Executive summary

• Disbursements for the first nine months reached INR 145,646 crores, nearly matching last year's total with 1.5 months left in FY25.

• Achieved highest ever 9-month profit of ₹11,477 crore, up 15% year-over-year, with total income rising 18% to ₹40,805 crore and net interest income up 24% to ₹14,191 crore.

• Loan assets under management grew by 14% in Q3, with significant growth in renewable energy and non-power infrastructure.

• Asset quality improved, with net NPA at 0.74% and gross NPA at 1.95%.

• REC maintains Maharatna status, providing operational and financial autonomy, and is a key player in power and infrastructure sectors.

Financial highlights

• Total income for nine months was INR 40,805 crores, up 18% year-over-year.

• Net interest income rose 24% year-over-year to INR 14,191 crores.

• Q3 profit after tax was INR 4,029 crores, a 23% increase from the previous year.

• Outstanding loan book stood at INR 565,621 crores as of December 2024, up 14% year-over-year.

• Renewables loan book increased 58% year-over-year to INR 52,394 crores.

Outlook and guidance

• Loan asset growth is targeted at 15%-17% annually, aiming for INR 10 lakh crore AUM by 2030.

• NIMs expected to be maintained above 3.65%-3.7% going forward.

• Disbursements in RDSS and smart metering expected to scale up in the coming quarters.

• Private sector lending share to gradually increase to 30% by 2030, driven by renewable projects.

• Consistent loan book growth and strong profitability expected to continue, supported by diversified funding and strategic sector focus.