NATIONAL, 23 JANUARY, 2024 (GPN):  Public sector Maharatna financial company REC Ltd on Tuesday reported a 13.6 per cent year-on-year increase in net profit to Rs 3,269.3 crore for the October-December quarter of the current financial tear. The company had posted a net profit of Rs 2,878 crore in the same quarter last year. REC also reported a net interest income (NII) of Rs 4,159 crore for the third quarter of 2023-24 which is 18 per cent higher than the corresponding figure of Rs 3,525 crore in the same quarter in the previous year.

In the disbursement category, REC Limited registered a 56% increase, disbursing Rs 46,358 crores against Rs 29,639 crores in the corresponding quarter last year. The interest income on loan assets grew by 22%, amounting to Rs 11,812 crores as opposed to Rs 9,660 crores in Q3 FY23.

Highlighting the company’s financial health, the annualised earnings per share (EPS) escalated to Rs 50.65 per share as of 31st December 2023, from Rs 40.79 per share in the previous year. REC’s net worth also observed an 18% year-overover-year increase, standing at Rs 64,787 crore.

The finance corporation’s asset quality also improved during the quarter with gross non-performing assets (NPAs) declining to 2.78 per cent of total loans, from 3.14 per cent in the preceding quarter.

The net NPA also improved to 0.82 per cent from 0.96 per cent in the June-September quarter.

The loan book maintained a positive growth trajectory, increasing by 21% to ₹4.97 lakh crore, while the net credit-impaired assets reduced to 0.82%. The capital adequacy ratio (CRAR) of REC stands comfortably at 28.21%.Ends