REC posts its Highest Ever Annual Profit of Rs. 6,246 Crore
Rural Electrification Corporation (REC) Limited, a Navratna public sector company focused on financing power projects announced its financial results for the quarter and year ended 31 March 2017 in a meeting held on 30th May 2017.
The Total Income of the Company for the year ended 31 March 2017 has risen to Rs. 24,096 crore as against Rs. 23,757 crore in the previous corresponding year. The Profit before Tax (PBT) for the year is Rs. 8,861 crore: an increase of 10% over the corresponding last year. The company has registered an increase of 11% in Profit after Tax (PAT) over the corresponding last year, which stands at Rs. 6,246 crore. The Net worth of the company has increased to Rs. 33,326 crore registering a growth of 16% over the corresponding last year. Loan Book of the company has increased to Rs. 2,01,929 crore and the outstanding borrowings is Rs. 1,67,517 crore as on 31 March 2017. Gross NPAs stand at 2.41% as at 31 March 2017 as against 2.11% as at 31 March 2016. Interest Coverage Ratio has improved to 1.64% as at 31 March 2017 as against 1.56% as at 31 March 2016. The Authorised Capital of the Company as at 31 March 2017 is Rs. 5,000 crore.
During the year, the Company had allotted bonus shares to its shareholders in the proportion of one bonus share of Rs. 10/- each for every existing one fully paid-up share of Rs. 10/- each. Accordingly, the paid-up capital increased to Rs. 1,974.92 crore from Rs. 987.46 crore, post bonus shares. The book value per share of Rs. 10/- each stands at Rs. 168.75 as at 31 March 2017. Earnings per Share (EPS) for the year ended 31 March 2017 has been Rs. 31.63 per share of Rs. 10/- each as against Rs. 28.50 per share for the year ended 31 March 2016.
The Company had declared an interim dividend for the FY 2016-17 of Rs.7/- per equity share of Rs. 10/- each. Further, the Board of Directors has recommended final dividend of Rs. 2.65 per share (on face value of Rs. 10/- each) for the year 2016-17, subject to approval of the Shareholders in the ensuing Annual General Meeting. The total dividend (including interim dividend) for the financial year 2016-17 is Rs. 9.65 per share (on face value of Rs. 10/- each).