REC declared an interim dividend of ₹4.60 per equity share for FY26, with August 1 as the record date.

Rural Electrification Corporation (REC) shares declined 1.05 per cent to ₹400.65 on NSE at midday today, despite the Maharatna PSU reporting strong first-quarter results the previous day. The stock had gained 4.50 per cent on Thursday ahead of the earnings announcement.

REC posted a 29 per cent year-on-year increase in consolidated net profit to ₹4,465.71 crore for Q1 FY26, compared to ₹3,460.19 crore in the same period last year. Revenue rose 12.6 per cent to ₹14,731.45 crore from ₹13,078.66 crore in Q1 FY25. Net interest income surged 37.6 per cent to ₹5,666 crore, reflecting strong momentum in the company’s core lending business.

The power sector financier maintained healthy financial metrics with a capital adequacy ratio of 23.98 per cent. Asset quality improved significantly, with gross credit impaired asset ratio declining to 1.05 per cent from 2.61 per cent last year, while net credit impaired assets fell to 0.24 per cent from 0.82 per cent.

REC declared an interim dividend of ₹4.60 per equity share for FY26, with August 1 as the record date. The company also announced a final dividend of ₹2.60 per share for FY25, subject to shareholder approval at the upcoming AGM.

The Ministry of Power-owned company’s consolidated net worth increased to ₹80,440.44 crore as of June 30, 2025, up from ₹72,936.19 crore last year.

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Published on July 25, 2025