REC Ltd Reports Strong Q3 Results Despite Market Volatility

Vodafone Idea

January 24, 2023

New Delhi, India

REC Q3 Results

REC reported a notable 13.6% YoY growth in net profit, reaching Rs 3,269.3 crore for the quarter ending December 2023. The company’s net interest income (NII) also demonstrated strength, climbing 18% to Rs 4,159 crore, compared to the same period last fiscal.

Asset Quality Improvement:

The corporation finance corporation showcased improved asset quality, with the gross non-performing assets (NPA) ratio decreasing to 2.78%, down from 3.14% in the preceding quarter. The net NPA followed suit, showing improvement from 0.96% in June-September to 0.82% in Q3.

Financial Ratios and Margins:

REC’s net interest margin (NIM) rose to 3.61% in Q3 FY24, reflecting an increase from 3.45% in the previous quarter. The provisional coverage ratio, a measure of risk mitigation, reached 70.41%, up from 69.37% in the second quarter.

Also Check: Axis Bank and Tata Elxsi Post Q3 Results

Market Response:

Despite the positive financial indicators, REC shares experienced a 6.38% decline, trading at Rs 430.65 apiece on the BSE on January 23. This dip may be attributed to broader market conditions or specific factors influencing the energy sector.


REC Ltd’s Q3 FY24 results paint a positive picture of financial health, marked by increased profitability and improved asset quality. However, the dip in share value amid market volatility underscores the impact of external factors on short-term stock performance.

Check Latest Q3 Results


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