REC Limited has reported its highest-ever annual net profit of ₹16,282 crore for the financial year ended March 31, 2026, along with a record total dividend of ₹18.55 per equity share. The Board of Directors approved the standalone and consolidated financial results, highlighting strong operational momentum, improved asset quality, and continued growth across key financial indicators.
The company noted that the Indian power sector is witnessing a structural turnaround driven by multiple Government of India initiatives. Distribution companies, which were historically under stress, have collectively posted a net profit, contributing to a more stable sector environment. This improvement has strengthened asset quality across the lending ecosystem and reduced risk perception, enabling REC to rationalise yields on its loan portfolio.
REC reported significant improvement in asset quality, with Net Stage-3 loans (NPAs) nearly at “zero” at 0.12% and Stage-2 loans declining by 75% year-on-year. Despite maintaining strong asset quality, the company expanded its loan book by approximately ₹17,000 crore during the year, taking the total loan book to an all-time high of ₹5.84 lakh crore as of March 31, 2026. The renewable energy portfolio also grew strongly, rising 30% year-on-year to ₹75,347 crore.
Key operational and financial metrics for FY 2025–26 showed broad-based growth. Sanctions stood at ₹4,09,097 crore compared to ₹3,37,179 crore in the previous year, marking a 21% increase. Disbursements rose 10% to ₹2,11,189 crore, while disbursements excluding RBPF increased 28% to ₹1,46,227 crore. Net worth improved to ₹84,290 crore as of March 31, 2026, up 9% from ₹77,638 crore in the previous year.
The Capital Adequacy Ratio (CRAR) remained strong at 23.11%, indicating adequate headroom for future growth. Interest spread and Net Interest Margin (NIM) were reported at 2.62% and 3.43% respectively. Earnings Per Share (EPS) increased to ₹61.71 for the year.
In line with its shareholder return policy, REC’s Board declared a final dividend of ₹1.55 per equity share (face value ₹10), taking the total dividend for FY 2025–26 to ₹18.55 per share.
The company also maintained strong performance in governance and institutional rankings, receiving an ‘Excellent’ rating in Memorandum of Understanding (MoU) performance for three consecutive years (FY 2023, FY 2024, and FY 2025). It also improved its position among profit-making CPSEs, moving from 9th to 5th rank in the Department of Public Enterprises (DPE) PE Survey for FY 2025. REC’s ‘Maharatna’ status was reaffirmed following a review conducted in January 2026, reflecting its consistent financial and operational performance.
