REC Ltd, a state-owned infrastructure finance company under the Ministry of Power, reported a consolidated net profit of Rs 4,193 crore for the quarter ended June 2025, representing a decline of more than 6% compared to the same period a year earlier.

The year-on-year drop in profit was primarily driven by lower interest income during the quarter. Total income also fell compared to the corresponding quarter in the previous fiscal year. REC is one of the two dominant state-owned lenders to India's power sector, alongside Power Finance Corporation, and its quarterly performance is closely tracked as an indicator of credit flow into power infrastructure projects across the country.

On the dividend front, REC announced an interim dividend of Rs 4.25 per share. The company also declared a final dividend of Rs 1.55 per share for the preceding fiscal year.

REC Limited, formerly known as Rural Electrification Corporation Limited, is a Maharatna-category public sector undertaking established in 1969. The company provides long-term financing for power sector infrastructure projects across India, including generation, transmission, and distribution, as well as renewable energy initiatives. The company's growing focus on renewable energy financing aligns with India's stated target of achieving 500 GW of non-fossil fuel installed capacity by 2030, which is expected to require substantial capital investment in the coming years. It is listed on both the BSE and the National Stock Exchange of India.

Source: Economic Times Markets