REC announces net profit of Rs 2,732 crore during Q2 FY23

Gurugram: State-run REC Limited has posted a quarterly net profit of Rs 2,732.12 crore in Q2 of FY23, up 1.48 percent from Rs 2,692.27 crore in the corresponding quarter of the previous financial year. EBITDA stood Rs 9,169.73 crore in the September quarter, up 2.86 percent from Rs 8,914.37 crore recorded in September 2021. Net sales was at Rs 9,955.99 crore in September 2022, down 0.92 percent from Rs 10,048.02 crore in September 2021.

The Board of Directors of Maharatna PSU REC Limited under the Ministry of Power approved the unaudited standalone and consolidated financial results for Q2 FY23.

Owing to the stable income, an effective cost management and resultant quarterly profit, the earnings per share for the quarter ended on September 30 stands at Rs 41.44 per share as against Rs 37.16 per share as on June 30.

Aided by its strong performance, the net worth of the company has been raised to Rs 53,457 crore as on September 30, which marks an increase of 2 percent on Q-o-Q.

The loan book has risen by 2 percent to Rs 3.94 lakh crore as on September 30. The increase in loan book coupled with sound asset resolutions has enabled a reduction in the net credit-impaired assets to 1.24 percent with Provision Coverage Ratio of 69.28 percent as on September 30.

PSU to pay interim dividend on Nov 9

The Capital Adequacy Ratio stands at a comfortable 25.15 percent as on September 30, which implies ample opportunities to support business growth. Continuing the tradition of rewarding its shareholders, the Board of Directors of the company has declared the first interim dividend of Rs 5 per equity share. They have fixed November 9 as the record date for the payment of interim dividend.

REC Limited is now a Maharatna company

Given the consistent operational and business excellence that REC achieves, the company was recently conferred the status of 'Maharatna,' the highest recognition for a Central Public Sector Enterprise (CPSE). The grant of 'Maharatna' status to REC imparts enhanced powers to the company's Board while taking financial decisions.

REC signs loan agreement with MMRDA & MMR

The organisation has expanded its business offerings to also fund infrastructure development projects such as metros. REC has signed a loan agreement of Rs 14,434 crores with Mumbai Metropolitan Region Development Authority (MMRDA) for nine metro projects being developed in the Mumbai Metropolitan Region (MMR).

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