REC records highest-ever quarterly profit
REC Limited, a Navratna company under the Ministry of Power, recently declared their quarterly financial results for Q3 and 9M FY21. The distribution and transmission company recorded the highest ever quarterly profit of Rs 2,263 crore.
Operational and Financial Highlights – Q3 FY21 vs Q3 FY20 (Standalone)
-Total Income: Rs. 9,047 crore vs. Rs. 7,653 crore, up 18%
-Net Profit: Rs. 2,263 crore vs. Rs. 1,642 crore, up 38%
With healthy operational performance during the quarter, the company has clocked its all-time highest quarterly profit of Rs 2,263 crore during Q3 FY21, as against Rs 1,642 crore during Q3 FY20. This translates to earnings per share (EPS) (non-annualized) of Rs 11.46 for the quarter ended 31 December 2020 as against Rs 8.32 per share during the same quarter last year.
The loan book grew from Rs 3.07 lakh crores as on 31 December 2019 to Rs 3.57 lakh crores as on 31 December 2020. Aided by the profits, the net worth of the company as at 31 December 2020 has reached Rs 41,749 crore with book value at Rs 211 per share. The capital adequacy ratio of the company has also improved sequentially to 19.27% as on 31 December 2020.
With no incremental slippages and sustained trend of resolutions, the net credit-impaired assets have reduced to 1.95% as on 31 December 2020 with the provisioning coverage ratio inching higher to 61.87%.
Written from a company news release.