REC share price jumps 9% on strong December quarter earnings

REC's net profit rose 13.6 percent year-on-year (YoY) to 3,269.3 crore for Q3FY24 versus 2,878 crore in the same quarter last year. Meanwhile, its net interest income (NII) for the quarter under review grew 18 percent YoY to 4,159 crore.

Pranati Deva
Published24 Jan 2024, 12:37 PM IST
REC's net profit rose 13.6 percent year-on-year (YoY) to  <span class='webrupee'>₹</span>3,269.3 crore for Q3FY24 versus  <span class='webrupee'>₹</span>2,878 crore in the same quarter last year.
REC’s net profit rose 13.6 percent year-on-year (YoY) to ₹3,269.3 crore for Q3FY24 versus ₹2,878 crore in the same quarter last year.(Pixabay)

The share price of REC jumped almost 9 percent in intra-day deals on Wednesday (January 24) after the firm posted strong results for the quarter ended December (Q3FY24).

The company's net profit rose 13.6 percent year-on-year (YoY) to 3,269.3 crore for Q3FY24 versus 2,878 crore in the same quarter last year. Meanwhile, its net interest income (NII) for the quarter under review grew 18 percent YoY to 4,159 crore.

Its gross non-performing assets (NPA) ratio improved to 2.78 percent, as against 3.14 percent in the preceding quarter. The net NPAs also improved to 0.82 percent from 0.96 percent in the June-September period.

Read here: Tata Steel Q3 results today: Lower European realisations may impact earnings

The net interest margin in Q3FY24 came in highest in five quarters at 3.61 percent, as against 3.45 percent in the preceding quarter. The provisional coverage ratio was also higher at 70.41 percent, as compared to 69.37 percent in the second quarter.

REC's Assets Under Management (AUM) grew by 21 percent YoY and 4.9 percent sequentially to 4.97 lakh crore.

Recently, REC was also declared as the nodal agency for the Pradhanmantri Suryodaya Yojana, which aims to install rooftop solar on 1 crore houses in India. 

Meanwhile, it also approved the sale and transfer of the entire shareholding of six subsidiaries (power transmission projects), presently held by REC Power Development and Consultancy Limited (RECPDCL) to the successful bidders selected through tariff-based competitive bidding process. These six projects are Dhule Power Transmission Ltd, Bidar Transmission Ltd, Siker Khetri Transmission Ltd, Pachora Power Transmission Ltd, Karera Power Transmission Ltd and Ishanagar Power Transmission Ltd.

Read here: CG Power shares fall 7% as Q3 numbers miss the Street estimates. Buy or sell?

The stock rose as much as 8.8 percent to its day's high of 472.95. It has now surged 328 percent from its 52-week low of 110.50, hit on February 14, 2023. Meanwhile, the stock hit a record high of 484 in the previous session (January 23).

The stock has also given multibagger returns in the last 1 year, rallying over 255 percent. Meanwhile, it has advanced 12 percent in January so far, extending gains for the 11th straight month since March 2023. Between March 2023 and January 2024, the stock has soared 319 percent.

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.MoreLess

News in Numbers

Numbers that help you understand news better
₹68,885 Cr

3.15L

48%

₹6.7 T

$240.5 M

$459 M

$3 B

₹588.25 Cr

₹20,000 Cr

7.93 Cr

₹8,943 Cr

10%

20 Yrs

First Published:24 Jan 2024, 12:37 PM IST
HomeMarketsStock MarketsREC share price jumps 9% on strong December quarter earnings

Most Active Stocks

Tata Steel

157.75
03:43 PM | 19 JUL 2024
-8.6 (-5.17%)

Tata Power

414.15
03:59 PM | 19 JUL 2024
-15.85 (-3.69%)

Bharat Electronics

306.30
03:45 PM | 19 JUL 2024
-7.2 (-2.3%)

Zee Entertainment Enterprises

137.55
03:57 PM | 19 JUL 2024
-4.9 (-3.44%)
More Active Stocks

Market Snapshot

  • Top Gainers
  • Top Losers
  • 52 Week High

Tata Teleservices Maharashtra

102.11
03:59 PM | 19 JUL 2024
4.68 (4.8%)

Rail Vikas Nigam

614.00
03:59 PM | 19 JUL 2024
27.65 (4.72%)

Jubilant Pharmova

752.25
03:43 PM | 19 JUL 2024
25.3 (3.48%)

One 97 Communications

458.70
03:55 PM | 19 JUL 2024
13.65 (3.07%)
More from Top Gainers

Recommended For You

    More Recommendations

    Gold Prices

    • 24K
    • 22K
    Bangalore
    74,925.00-1,347.00
    Chennai
    74,558.00-1,566.00
    Delhi
    75,144.00-389.00
    Kolkata
    74,558.00-531.00

    Fuel Price

    • Petrol
    • Diesel
    Bangalore
    102.86/L0.00
    Chennai
    100.75/L-0.01
    Kolkata
    104.95/L0.00
    New Delhi
    94.72/L0.00
    OPEN IN APP
    HomeMarketsPremiumInstant LoanBudget