IRFC share price jumps 4% after railway PSU reports Q1 results

IRFC share price jumped nearly 4% in early trade on Wednesday after the PSU railway company reported its Q1 results. IRFC share price rallied as much as 3.89% to ₹135.90 apiece on the BSE.

The state-owned Indian Railway Finance Corporation (IRFC) a net profit of ₹1,745.69 crore in the first quarter of FY26, registering a growth of 10.7% from ₹1,576.83 crore in the same quarter previous year.

The railway PSU's revenue from core operations in Q1FY26 increased 2.2% to ₹6,915 crore from ₹6,765 crore, year-on-year (YoY). Interest income fell more than 17% to ₹1,497 crore from ₹1,819 crore, YoY. However, income from leasing operations rose 9.2% YoY to ₹5.043 crore.

Net interest margin improved to 1.53% (annualized), the best in the last three years, reflecting stronger lending spreads and tighter cost management. The company also reported a book value of ₹41.65 per share, IRFC said.

The company’s debt-to-equity ratio improved further to 7.44, highlighting a healthier balance sheet. It reported a continued streak of zero non-performing assets (NFIA), maintaining a clean loan book, IRFC added.

“IRFC) has delivered its strongest-ever quarterly performance in Q1 FY26, signaling robust financial health and strategic clarity post its elevation to Navratna status. The company’s net worth reached ₹54,423.96 crore and book value per share stood at ₹41.65, demonstrating strong capital position. IRFC also reported a healthy debt-to-equity ratio of 7.44 and continued to maintain zero NPAs, reflecting pristine asset quality,” said Seema Srivastava, Senior Research Analyst at SMC Global Securities.

CMD Manoj Kumar Dubey emphasized the company’s growing strategic role in Indian Railways’ infrastructure transformation, citing IRFC’s shift towards holistic asset proliferation within the railway ecosystem under the IRFC 2.0 vision, she added.

IRFC Share Price Performance

IRFC share price fell 1% in one month and has declined 4$ in six months. On a year-to-date (YTD) basis, IRFC share price dropped 10%, while it has declined 30% in the past one year. However, over the long term, IRFC share price has delivered strong returns as it has jumped 290% in two years and gave multibagger returns of 550% on three years.

Technical Outlook

IRFC share is trading near the support at ₹133, signaling a possible trend reversal.

“A confirmed close below this level could accelerate the decline toward the next major support zone between ₹120.88 and ₹117.75 — an area that also matches an unfilled gap on the daily chart. Volumes have remained weak, and the short-term moving averages are turning lower, adding weight to the bearish setup. With no visible demand and the gap pulling prices down, IRFC stock price looks poised for further weakness, making ₹120 the key level to monitor in the near term,” said Anshul Jain, Head of Research at Lakshmishree Investments.

At 9:25 AM, IRFC share price was trading 3.67% higher at ₹135.60 apiece on the BSE.

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