REC Limited states that the Indian power sector is at the cusp of new vibrance owing to numerous initiatives taken by Government of India. The legacy loss-making power distribution companies achieved a rare, collective overall net profit, marking a significant turnaround. This improvement led to a stable environment, indicating improved quality of assets, resulting to reduction in risk premiums. REC, as a responsible lender focused towards nation building, has proactively passed on such reduced risk premium to its borrowers by rationalising its yield on loan assets.
The continued focus on sustainable growth is showing results with the Net Stage-3 loans (NPA) nearly “Zero” (0.12%) and Stage-2 loans reduced by 75% YoY. Without compromising on the asset quality, REC has registered a growth in loan book of around ₹ 17,000 crores during the last year. As a result, the loan book is at an all-time high of ₹5.84 lakh crore as on March 31, 2026. In conjunction with government vision, the Renewable loan book increased to ₹75,347 crore as on March 31, 2026, reflecting 30% growth.
Inspite of challenging macro economic situations and geopolitical uncertainity, REC has registered its highest ever annual net Profit of ₹16,282 crore during financial year ended 31st March 2026.
The interest spread and NIM remains healthy at 2.62% and 3.43% respectively. The strong profitability has resulted in Earnings Per Share (EPS) increasing to ₹61.71 per share, for the year ended March 31, 2026.
Continuing with the tradition to reward its shareholders, the Board of Directors of the Company has declared the final dividend of ₹1.55 per equity share (on face value of ₹10/- each) with this total dividend for the financial year 2025-26 is ₹18.55 per share.
REC has demonstrated consistent excellence in MoU performance, achieving an ‘Excellent’ rating for three consecutive years (FY 23, FY 24 and FY 25). Further, REC moved up four places from 9th to 5th in the ranking of net profit‑making CPSEs, as per DPE’s PE Survey Report for FY’25. Based on its consistent business, operational, and financial performance and a positive future growth outlook, REC’s ‘Maharatna’ status was reaffirmed by the DPE after the review undertaken in Jan’26.
Sustainability is at the core of REC. Building on this legacy, REC has integrated ESG into every facet of its operations with core focus on renewable portfolio growth. This ESG excellence is reflected in the NSE ESG Ratings, where REC achieved the highest rating among all companies rated in the country.
