Mumbai: REC Limited’s standalone net profit stood at Rs 4,043 crore in the third quarter of FY26, inching up 0.3 percent from Rs 4,029 crore in Q3 FY25. Revenue from operations grew 5.3 percent YoY to Rs 14,911 crore. Sequentially, however, both revenue and profit recorded mild dips -revenue slipped 1.1 percent from Rs 15,084 crore in Q2, while profit declined 8.6 percent from Rs 4,426 crore. For context, Q1 profit stood at Rs 4,451 crore, showing a tapering trend through the fiscal.
Sequential growth moderates amid expense pressure
Total expenses rose to Rs 9,836 crore in Q3 from Rs 9,542 crore in Q2, marking a 3.1 percent increase, driven by a sharp rise in fair value changes and CSR expenses. Finance costs also edged higher to Rs 9,243 crore. Despite stable interest income, operating margins narrowed to 34.03 percent from 35.98 percent a year earlier.
EPS dipped to Rs 15.35 from Rs 16.81 in Q2. Deferred tax outgo swung positive, contributing Rs 62 crore compared to a credit of Rs 29 crore last quarter.
Nine-month performance shows steady growth
For the nine months ended December 31, 2025, REC reported Rs 44,641 crore in standalone revenue, up 9.6 percent from Rs 40,752 crore in 9M FY25. Net profit rose 12.6 percent YoY to Rs 12,920 crore, with consistent disbursements and low impairment charges supporting bottom line growth. With CRAR at 24.26 percent and net impaired asset ratio down to 0.20 percent, the company remains on strong financial footing heading into the final quarter of FY26.
Disclaimer: This article is based on REC Ltd’s unaudited financial results as reported. Investors should exercise discretion. The Free Press Journal is not liable for investment decisions based on this content.
