REC Posts ₹15,713 Crore Profit in FY25; Recommends Final Dividend of ₹2.60 per Share
New Delhi, May 8: REC Limited has announced a strong financial performance for the fiscal year 2024-25, reporting a standalone net profit of ₹15,713 crore, marking a 12% increase over ₹14,019 crore in the previous year.
The Board of Directors, in its meeting on Thursday, also recommended a final dividend of ₹2.60 per equity share, taking the total dividend for FY25 to ₹18 per share, up from ₹16 per share in FY24, subject to shareholders’ approval at the forthcoming Annual General Meeting.
The company attributed its robust growth to strong performance across all business verticals, favourable reset of interest rates on loan assets, and efficient finance cost management. As a result, REC was able to maintain its spreads and net interest margins, contributing to its highest-ever annual profit. The annualised Earnings Per Share (EPS) surged to ₹59.55 as on March 31, 2025, compared to ₹53.11 a year ago.
During the fourth quarter of FY25, REC registered disbursements of ₹45,538 crore, up 16% from ₹39,374 crore in Q4 FY24. The net interest income for the quarter rose sharply by 38% to ₹5,876 crore, while total income increased by 24% to ₹15,174 crore. Net profit for the quarter stood at ₹4,236 crore, reflecting a 5% rise on a year-on-year basis. The net interest margin also saw a slight improvement, rising to 3.64% from 3.60% in the same period last year.
For the full financial year, REC’s total disbursements touched ₹1,91,185 crore, recording an 18% increase from ₹1,61,462 crore in FY24. The net interest income grew by 27% to ₹19,878 crore, and total income rose by 19% to ₹55,980 crore. Asset quality also improved significantly during the year, with net credit-impaired assets dropping to 0.38% from 0.86%, following the resolution of five such assets worth ₹6,171 crore.
REC’s loan book, or Asset Under Management (AUM), continued its upward trajectory, reaching ₹5.66 lakh crore as on March 31, 2025, compared to ₹5.09 lakh crore a year earlier. The net worth of the company grew by 13% to ₹77,638 crore during the same period. With a comfortable Capital Adequacy Ratio (CRAR) of 25.99%, the company is well-positioned to support future business expansion and capital requirements.
Official spokesperson said the financial results reveals REC’s continued focus on sustainable growth and its commitment to rewarding shareholders while maintaining a strong and resilient financial foundation.