REC's Q3 FY 2025-26 Quarterly Results
- 30 Jan 2026
Result Summary
- REC Ltd reported a 0.7% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Dec (Q3 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 5.4%.
- Its expenses for the quarter were up by 3.3% QoQ and 6.5% YoY.
- The net profit decreased 8.2% QoQ and decreased 0.6% YoY.
- The earnings per share (EPS) of REC Ltd stood at 15.39 during Q3 FY 2025-26.
Financial Statments for Q3 FY 2025-26
Total Income | 15058.60 | 15162.38 | 14286.91 | -0.7% | 5.4% |
Total Expenses | 9790.24 | 9473.74 | 9189.34 | 3.3% | 6.5% |
Profit Before Tax | 5136.43 | 5548.94 | 5180.97 | -7.4% | -0.9% |
Tax | 1083.99 | 1134.01 | 1104.62 | -4.4% | -1.9% |
Profit After Tax | 4052.44 | 4414.93 | 4076.35 | -8.2% | -0.6% |
Earnings Per Share | 15.39 | 16.77 | 15.48 | -8.2% | -0.6% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
REC Ltd, also known as Rural Electrification Corporation Limited, is a public financial company in India. It primarily operates in the power sector, providing financial assistance to state electricity boards, state governments, central/state power utilities, independent power producers, rural electric cooperatives, and private sector utilities. The company plays a significant role in financing power projects across the country and is under the administrative control of the Ministry of Power, Government of India. REC Ltd is instrumental in the development and expansion of India's electricity infrastructure, focusing on rural and semi-urban areas. Recent developments surrounding the company, such as changes in policies or major projects, are not available in the provided information.
Revenue
In Q3FY26, REC Ltd reported total income of ₹15,058.60 crores, a slight decrease of 0.7% compared to the previous quarter (Q2FY26), where the total income was ₹15,162.38 crores. On a year-over-year basis, the company's total income increased by 5.4% from ₹14,286.91 crores in Q3FY25. This indicates a year-over-year growth in total income despite a minor quarter-on-quarter decline. This data reflects the company's ability to generate consistent revenue over time, with a notable annual growth rate.
Profitability
The profitability figures for REC Ltd in Q3FY26 show a profit before tax of ₹5,136.43 crores, which is a 7.4% decrease from the previous quarter's profit before tax of ₹5,548.94 crores. Compared to Q3FY25, where the profit before tax was ₹5,180.97 crores, there is a marginal year-over-year decline of 0.9%. The profit after tax in Q3FY26 was ₹4,052.44 crores, down by 8.2% from Q2FY26, and similarly, it showed a slight decrease of 0.6% from ₹4,076.35 crores in Q3FY25. The earnings per share in Q3FY26 followed the profit after tax trend, decreasing by 8.2% quarter-over-quarter and 0.6% year-over-year, standing at ₹15.39. These figures illustrate a reduction in profitability compared to both the previous quarter and the same quarter of the previous year.
Operating Metrics
Total expenses for REC Ltd in Q3FY26 amounted to ₹9,790.24 crores, reflecting an increase of 3.3% from ₹9,473.74 crores in Q2FY26. Year-over-year, total expenses rose by 6.5% from ₹9,189.34 crores in Q3FY25. This increment in expenses over the quarters may have contributed to the observed reduction in profit margins. The tax expenses in Q3FY26 were ₹1,083.99 crores, showing a quarter-over-quarter decrease of 4.4% from ₹1,134.01 crores in Q2FY26 and a year-over-year decrease of 1.9% from ₹1,104.62 crores in Q3FY25. The data indicates a trend of rising operational costs over the year, which may have implications for the company’s financial management and overall cost efficiency.