REC Q2 results: Net profit falls 21% to ₹3,478 crore, declares interim dividend

What happened

REC reported net profit fell 21.2% to ₹3,478 crore for the second quarter of FY27, down from ₹4,415 crore a year earlier. Net interest income fell 9% to ₹5,478 crore. REC declared a second interim dividend of ₹3.50 per share, with a record date of October 30, 2026.

Confirmed

Global impact / market context

Lower net profit and net interest income mean REC earned less from its core lending business, which can reduce the cash it generates to fund dividends and new loans. The dividend still rewards shareholders, but weaker earnings may limit how much REC can pay out later.

Analyst inference

REC's renewable energy loan book grew 27% to about ₹86,660 crore, and non-power infrastructure loans reached about ₹61,637 crore, over 10% of total loan assets. This shift toward clean energy and logistics lending may offset slower profit growth in its traditional power financing.

Analyst inference

What to watch

1. The record date of October 30, 2026, will determine which shareholders receive the ₹3.50 per share interim dividend, with payment due on or before November 21, 2026. Confirmed
2. REC's ₹500-crore tokenised bond issue attracted ₹796 crore in bids, and the company said it successfully issued India's first pilot of this kind, which means a bond recorded on a digital ledger. Confirmed
3. Watch whether REC's renewable energy and infrastructure loan growth translates into higher net interest income in coming quarters, since profit fell even as these portfolios expanded. Analyst inference

Evidence

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