Synopsis:
IREDA posted strong provisional results for H1 FY26, with loan sanctions up 86% to ₹33,148 crore, disbursements up 54% to ₹15,043 crore, and loan book rising 31% to ₹84,445 crore, reflecting solid growth in green energy financing.
The shares of a PSU Mid-Cap company, specializing in promoting, developing, and providing financial assistance for projects related to renewable energy and energy efficiency/conservation in India, jumped upto 4 percent as the company reports a robust H1FY26 performance.
With a market capitalization of Rs. 43,220.02 crores on Wednesday, the shares of Indian Renewable Energy Development Agency Ltd rose by upto 4.4 percent, making a high of Rs. 155.30 per share compared to its previous closing price of Rs. 148.75 per share.
What Happened
Indian Renewable Energy Development Agency, engaged in promoting, developing, and providing financial assistance for projects related to renewable energy and energy efficiency/conservation in India, has reported a strong provisional business performance for the period ending September 30, 2025.
- Loan Sanctioned increased by 86%, from Rs. 17,860 crore as of September 30, 2024, to Rs. 33,148 crore as of September 30, 2025.
- Loan Disbursements rose by 54%, reaching Rs. 15,043 crore in 2025, up from Rs. 9,787 crore in 2024.
- Loan Book Outstanding grew by 31%, from Rs. 64,564 crore in 2024 to Rs. 84,445 crore as of September 30, 2025.
These figures reflect IREDA’s continued momentum in supporting renewable energy development across India.
Financial & Others
The company’s revenue rose by 28.94 percent from Rs. 1,510 crore to Rs. 1,947 crore in Q1FY25-26. Meanwhile, Net profit declined from Rs. 384 crores to Rs. 247 crores during the same period.
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The company has shown strong performance with a 51.3 percent CAGR in profit growth over the last five years. It maintains a healthy Return on Equity (ROE) of 18.0 percent and a favorable PEG ratio of 0.71, indicating an attractive valuation relative to its growth.
Indian Renewable Energy Development Agency (IREDA) is India’s largest dedicated green financing NBFC with over 38 years of experience. It offers a wide range of financial products for the renewable energy sector and is recognized as a Systemically Important Non-Deposit Taking NBFC by RBI, and the company also operates a wholly owned subsidiary in IFSC-GIFT City.
IREDA is 71.76 percent owned by the Government of India and holds Navratna and Schedule ‘A’ CPSE status. It plays a key role as a nodal or implementing agency for major MNRE (Ministry of New and Renewable Energy) schemes, contributing significantly to India’s renewable energy goals.
As of June 30, 2025, IREDA’s outstanding loan portfolio is diversified across multiple sectors. The largest share, 24 percent, is allocated to Solar thermal/SPV, followed by loan facilities to state utilities – Others at 19 percent.
Wind accounts for 13%, while Hydro power makes up 11% and Manufacturing makes up 7%. Hybrid Wind & Solar holds 3%, and Ethanol projects account for 8%. Additionally, 5% of loans are extended to state utility GENCOs, reflecting IREDA’s broad support for renewable and allied sectors.
Written by Sridhar J
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