How REC Limited Achieved a 27% Disbursement Increase

By News IP
Last Updated On: Oct 17, 2025

REC Limited Announces Record Financial Results and Generous Dividend for H1 FY2026

On October 17, 2025, REC Limited, a prominent public financial institution, disclosed its financial achievements for the first half of the fiscal year 2026, following a board meeting that reviewed both standalone and consolidated financial outcomes as of September 30, 2025.

Financial Growth and Operational Success in H1 FY2026

REC Limited reported remarkable improvements in its financial metrics, demonstrating significant growth compared to the same period last year. The details include:

Disbursements: Reached ₹1,15,470 crore, marking a 27% increase from ₹90,955 crore.
Total Income: Grew by 12% to ₹29,828 crore from ₹26,633 crore.
Net Interest Income: Rose by 15% to ₹10,608 crore, up from ₹9,261 crore.
Net Profit: Climbed 19% to ₹8,877 crore from ₹7,448 crore.

During the second quarter of FY26 alone, REC saw a 97% surge in sanctions, amounting to ₹1,49,832 crore compared to ₹76,200 crore in the same quarter of the previous year. The company maintained a spread of 2.89% and a net interest margin (NIM) of 3.64%, contributing to a robust half-yearly profit after tax of ₹8,877 crore. The Annualised Earnings Per Share (EPS) also increased by 19% to ₹67.24 from ₹56.56 in the previous year.

Strengthening Financial Stability

REC’s loan book continued its growth trajectory, reaching ₹5.82 lakh crore, up from ₹5.46 lakh crore as of the end of September 2024. The quality of the loan book improved significantly, with net credit-impaired assets reducing to 0.24% from 0.88% within a year, supported by a Provision Coverage Ratio of 77.06% on non-performing assets (NPA). The company’s Net Worth also saw a healthy increase, reaching ₹82,739 crore as of September 30, 2025.

Commitment to Shareholder Returns

In line with its consistent policy of rewarding shareholders, REC Limited’s Board of Directors declared a second interim dividend of ₹4.60 per equity share (each with a face value of ₹10/-). With this declaration, the total interim dividend for the financial year 2025-26 amounts to ₹9.20. This financial briefing underscores REC Limited’s robust performance and strategic advancements in the first half of FY2026, setting a positive tone for the remainder of the financial year.

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