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New Delhi: REC Limited reported a standalone net profit of Rs 3,362.30 crore in the quarter ended March 31, down from Rs 4,043.08 crore in the December quarter and Rs 4,236.20 crore in the same quarter a year earlier. On a consolidated basis, the net profit stood at Rs 3,375.08 crore, compared with Rs 4,052.44 crore in Q3 FY26 and Rs 4,309.98 crore in Q4 FY25. This represents a decline of 16.8 percent sequentially and 20.6 percent on year-on-year basis for the standalone numbers. As far as the consolidated results are concerned, there is a decline of 16.7 percent sequentially and 21.7 percent year-on-year in net profit.
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The total income also softened in the quarter. Standalone total income fell to Rs 14,406.30 crore from Rs 14,952.50 crore in the previous quarter and Rs 15,174.15 crore a year earlier, while consolidated total income was Rs 14,583.39 crore, down from Rs 15,058.60 crore in Q3 FY26 and Rs 15,348.37 crore in Q4 FY25.
For FY2025-26, REC’s standalone net profit rose to Rs 16,282.26 crore from Rs 15,713.21 crore a year earlier, while consolidated net profit increased to Rs 16,308.17 crore from Rs 15,884.23 crore. Total income for the year rose to Rs 59,187.22 crore on a standalone basis and Rs 59,628.35 crore on a consolidated basis, compared with Rs 55,979.62 crore and Rs 56,434.03 crore, respectively, in FY25. That means annual profit growth was respectable, but not dramatic: 3.6 percent for standalone and 2.7 percent for consolidated.
The company’s key profitability metrics also stayed healthy. Standalone earnings per share rose to Rs 61.71 for FY26, while consolidated EPS was Rs 61.81. REC also recommended a final dividend of Rs 1.55 per share, taking total dividend for FY26 to Rs 18.55 per share.
REC said its loan book touched an all-time high of Rs 5.84 lakh crore as of March 31, 2026, after growing by around Rs 17,000 crore during the year. The company also said renewable loans rose to Rs 75,347 crore, up 30 percent, while sanctions for FY26 came in at Rs 4,09,097 crore, up 21 percent, and disbursements at Rs 2,11,189 crore, up 10 percent. Disbursements excluding RBPF rose 28 percent to Rs 1,46,227 crore. Net worth climbed 9 percent to Rs 84,290 crore, and CRAR stood at 23.11 percent.
On the operating side, the company said the “interest spread and NIM remains healthy at 2.62 percent and 3.43 percent respectively.” It also said “Net Stage-3 loans (NPA) nearly ‘Zero’ (0.12 percent)” and Stage-2 loans were down 75 percent year-on-year.
The numbers do point to better asset quality, but the wider financial statements show that the standalone impairment charge in FY26 fell sharply to Rs 201.22 crore from Rs 1,019.41 crore in FY25, while the consolidated figure fell to Rs 231.40 crore from Rs 1,021.58 crore. But stage-3 provisioning coverage also weakened, at 51.13 percent in FY26 against 71.73 percent a year earlier.
The biggest weak spot in the quarter was other comprehensive income. Standalone other comprehensive loss widened to Rs 3,046.83 crore in Q4 FY26 from a loss of Rs 1,050.14 crore a year earlier. As a result, total comprehensive income collapsed to Rs 315.47 crore standalone and Rs 328.25 crore consolidated, sharply lower than the year-earlier quarter and the previous quarter. The drag came largely from hedging-related items and fair value movements.
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REC finished FY26 with a record annual profit, a larger loan book, higher sanctions and disbursements, and a strong capital position. However, its reported comprehensive income is highly exposed to financing-market volatility.
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