REC Q3 FY26 Earnings Results: Net Profit at ₹4,043 Crore, ₹4.6 Interim Dividend Announced

REC Limited, the Maharatna PSU lender focused on the power sector, reported a standalone net profit of ₹4,043.08 crore for the third quarter of FY26. This was almost unchanged compared to ₹4,029.09 crore in the same quarter last year.

However, on a quarter-on-quarter basis, profit declined 8.6% from ₹4,425.86 crore in Q2 FY26.

Revenue and Expense Trend

Revenue from operations during Q3 FY26 increased by over 5% year-on-year to ₹14,910.88 crore, compared with ₹14,157.19 crore in Q3 FY25. On a sequential basis, revenue dipped slightly by 1% from ₹15,084.13 crore in the previous quarter.

Total expenses rose 8.5% year-on-year to ₹9,836.10 crore, mainly due to higher operational and financing costs.

Interim Dividend Announcement

REC declared its third interim dividend for FY26 at 46%, amounting to ₹4.60 per equity share with a face value of ₹10.

The record date for the dividend has been fixed as February 6, 2026, and the payout will be made on or before February 27, 2026, to eligible shareholders.

Asset Quality Improves Further

The company’s asset quality showed strong improvement during the quarter.

• Gross NPA ratio declined to 0.88% from 1.95% a year ago
• Net NPA ratio improved to 0.20% from 0.74%
• Provision coverage ratio for Stage 3 assets increased to 76.96%, compared with 71.73% in March 2025

Capital Adequacy Remains Strong

REC maintained a healthy balance sheet, with its capital adequacy ratio (CRAR) standing at 24.26%, providing strong support for future growth.

Also Read: Adani Power Increases Electricity Export to Bangladesh!

REC Share Price Movement

REC share price (NSE: RECLTD) was trading at ₹366.60 on the NSE at 10:48 am IST on January 30, down ₹8.70 or 2.32% for the day. The stock opened at ₹372.55, touched an intraday high of ₹375.00, and slipped to a low of ₹363.20. Over the past year, the stock has moved between a 52-week high of ₹460.20 and a 52-week low of ₹330.95. The company offers a dividend yield of 5.37%, with a quarterly dividend payout of ₹4.92 per share.

Conclusion

REC delivered a stable Q3 FY26 performance with flat profits and steady revenue growth. Improved asset quality, strong capital adequacy, and a ₹4.60 interim dividend highlight the company’s financial strength, even as quarterly profits moderated sequentially.

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