REC FY21 results: REC records its highest-ever net profit at Rs 8,362 crore

New Delhi: During the financial year FY 2020-21, REC Limited has registered the highest ever net profit of Rs 8,362 crore against Rs 4,886 crore in FY 2019-20. Total income from the operations has also gone up by 19 percent to Rs 35,410 crore against Rs 29,829 crore in FY 2019-20. The Board of REC Limited, a Navratna power PSU under the Ministry of Power, has approved the audited standalone and consolidated financial results for the fourth quarter (Q4) and for the financial year 2020-21 on May 28.

Performance highlights for Q4

With healthy operational performance during the quarter, the company has clocked a quarterly profit of Rs. 2,070 crore during Q4 FY21, as against Rs. 436 crore during Q4 FY20. This translates to earnings per share (EPS) (non-annualized) of Rs 10.48 for the quarter ended 31st March 2021 as against Rs. 2.21 per share during the same quarter last year.

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REC Limited’s loan book has grown from Rs 3.22 lakh crore, as on March 31, 2020, to Rs 3.77 lakh crore, as on March 31, 2021. Aided by profits, the net worth of the company as on March 31, 2021, has reached Rs 43,426 crore with a book value of Rs 220 per share. The capital adequacy ratio of the company has also improved sequentially to 19.72 percent, as on March 31, 2021, which will aid the future growth for the company.

With sustained trend of improving asset quality, the net credit-impaired assets have reduced to 1.71 percent, as on March 31, 2021, as against 3.32 percent, as on March 31, 2020. The provisioning coverage ratio of the company has also improved to 64.59 percent as on March 31, 2021, as against 49.65 percent as on March 31, 2020.

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