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State-run REC Sees Profit Drop, Boosts Dividend Payout
28 Apr
Summary
- REC's Q4 profit decreased by 22% year-on-year.
- Total revenue from operations saw a 5% decline in Q4.
- The company announced a final dividend, increasing the total payout.
State-run REC announced a 22% decrease in its consolidated net profit for the March quarter, totaling Rs 3,375 crore compared to Rs 4,310 crore in the same period last year. Revenue from operations also experienced a 5% reduction, settling at Rs 14,564 crore.
The financial infrastructure firm also saw a 17% sequential drop in profit and a 3% decrease in topline compared to the previous quarter. Despite these performance dips, REC's board proposed a final dividend of Rs 1.55 per equity share for FY26, subject to shareholder approval. This adds to the interim dividends already distributed, bringing the total for the financial year to Rs 18.55 per share.
Interest income for Q4FY26 was Rs 14,119 crore, with expenses rising to Rs 10,169 crore. The company maintained its loan assets at Rs 5.83 lakh crore. Following the earnings announcement, REC shares closed slightly lower.
