REC records 11% increase in Q4 net profit to `2,288 crore

GURUGRAM: The Board of Directors of REC Limited approved the audited standalone and consolidated financial results for Q4 and 12 months of FY22.

The company’s total income in FY22 jumped to Rs 39,230 crore against Rs 35,410 crore in FY21, a rise of 11 per cent, while company’s net Profit jumped by 20 per cent to Rs 10,046 crore in FY22, against Rs 8,362 crores in previous fiscal.

REC’S total Income increased by 5 per cent to Rs 9,602 crore in Q4 FY22 against Rs 9,150 crore in Q4 of FY21. Company’s net Profit in Q4 FY22 climbed to Rs 2,288 crore against Rs 2,070 crore in Q4 FY21, registering an increase of 11 per cent.

Owing to the corporation’s sound income, effective cost management and resultant quarterly profit, the Earnings Per Share for the year ended March 31, 2022 increased to Rs 50.87 as against Rs 42.34 per share as on March 31, 2021.

Aided by the growth in profits, the Net Worth of the company during FY22 climbed to Rs 50,986 crores , registering an increase of 17 per cent YOY.

In spite of sluggish credit offtake across the infrastructure sector as a result of the Coronavirus pandemic, REC has increased its Loan book by 2 per cent to Rs 3.85 lakh crore.

improving its stressed loan

In spite of sluggish credit offtake across the infrastructure sector as a result of Covid pandemic, REC has increased its Loan book by 2 per cent to Rs 3.85 lakh crore

assets, REC has successfully resolved three projects worth Rs 2,550 crores during Q4 FY22. Consequently, the Net Credit-impaired assets have reduced to 1.45 per cent during FY22, with a comfortable Provision Coverage Ratio of 67.40 per cent.

With strong order book and Capital Adequacy Ratio of 23.61 per cent as at March 31, 2022, REC has a solid foundation and an ample number of opportunities to support its future growth.

Continuing with the tradition of rewarding its shareholders , in addition to the interim dividends already paid totaling to Rs 10.50/- per equity shares, the Board of Directors of the Company have declared a final dividend of Rs 4.80/- per equity share for the FY 21-22, subject to approval of shareholders in the ensuing AGM. T

his translates to a 153 per cent dividend payout on face value of Rs 10/- per share.