Maharatna PSU engaged in providing long-term loans and other financing products for the complete power sector value chain from generation to distribution in focus following Q4 business updates with 558 percent growth in sanctions for Renewable Energy projects.
With a market capitalization of Rs. 1,21,036 Crores, the shares of REC Limited were trading at Rs. 459.50, down 2.59 percent from its previous day’s close price of Rs. 471.70.
REC Limited has continued its growth trajectory and posted yet another financial year with strong operational performance with the highest ever loan sanctions at Rs. 3.58 Lakh Crores in FY24 with a growth of 33.66 percent from sanctions of Rs. 2.68 Lakh Crores in FY23.
Out of the above sanctions, Renewable Energy sanctions stand at Rs. 1.36 Lakh Crores in FY24, with a tremendous growth of 558.79 percent from the sanctions of Rs. 21,371 Crores in FY23.
Its Disbursements grew by 66.72 percent from Rs. 96,846 Crores in FY23 to Rs. 1,61,462 Crores in FY24 and its Loan Book Grew by 17.13 percent from Rs. 4,35,012 Crores in FY23 to Rs. 5,09,545 Crores in FY24.
REC Limited is a ‘Maharatna’ company under the administrative control of the Ministry of Power, GOI, it provides long-term loans and other financing products to the State, Centre, and Private Companies for financing projects in the complete power sector value chain from generation to distribution.
Its revenue from operations grew by 23.20 percent from Rs. 9,782 Crores in Q3FY23 to Rs. 12,052 Crores in Q3FY24, accompanied by profits of Rs. 2,915 Crores to Rs. 3,308 Crores.
Its Sector-wise breakup of Sanctions worth Rs. 1,32,049 Crores in Q3FY24 includes Renewables 57 percent, Generation 20 percent, Distribution 15 percent, Transmission 4 percent, STL/MTL 3 percent, I&L – Core 1 percent
The company’s sector-wise breakup of disbursements in Q3FY24 is as follows, Power Distribution 42 percent, Power Generation 23 percent, Renewables 9 percent, Infrastructure & Logistics-Electrical and Mechanical 5 percent, Transmission 3 percent, STL/MTL 13 percent, and Infrastructure & Logistics-Core 5 percent.
Written by: Bharath K.S
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