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REC Declares Financial Results For FY 2019-20
Total Income Increases By 18% to Rs. 29,855 crore, Net Interest Income Rises by 15%
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The Board of Directors of REC Limited approved the audited standalone and consolidated financial results for FY 2019-20 on Thursday.
Comparing the Operational and Financial Highlights with last year’s sanctions, disbursements, total income, and net profit has shown some positive raise.
After the year finished on 31st March 2020, the total income of the Company expanded by 18% to Rs. 29,855 crore as against Rs. 25,341 crore for the year 2018-19. The Net Interest Income additionally posted an expansion of 15% to arrive at Rs. 10,425 crores during the current year. Be that as it may, in-spite of the solid operational presentation, the benefits were affected because of sharp deterioration in the Indian cash during Q4 FY20 inferable from the instability in worldwide budgetary markets brought about by Covid-19 episode. This drove the Company to end the year with the Net Profit of Rs. 4,886 crores and Earnings Per Share (EPS) of Rs. 24.74.
The loan book has developed by 15% as it expanded from Rs. 3.22 lakh crores as at 31st March 2020. 6,474 crores during the period seventeenth to 31st March 2020, while finishing the year with payment of Rs. 75,667 crores.
With Capital Adequacy Ratio at 16.06%, the Net Worth of the Company has expanded from Rs. 34,303 crores as at 31st March 2019 to Rs. 35,077 crores as on 31st March 2020 with a book esteem for every portion of Rs.178. While the Capital Adequacy Ratio remains serenely over the administrative prerequisite, the Company has additionally raised subjected bonds adding up to Rs. 2,000 crores in June 2020.
During the Covid-19 disturbances, the Company broadly utilized the advanced innovation for audit and observing, data sharing and information the executives. The solid Information Technology ability combined with the accessibility of E-Office and ERP applications through secure Virtual Private Network (VPN) permitted the Company to proceed with the business tasks with no disturbances because of lockdown.
While the Company permitted a 'Opt in' strategy for ban for the sums falling due between first March 2020 to 31st May 2020, the Company has just recuperated over 78% of the all out recuperation of Rs. 9,500 crore due for March 2020.
During the Covid-19 disturbances, the Company widely utilized the advanced innovation for survey and checking, data sharing and information the executives.
This likewise incorporates USD 500 Million raised through USD Bonds wherein REC turned into the first Indian organization to effectively raise such securities during the Covid-19 pandemic on 12th May 2020.
“The World is facing an unprecedented situation in the form of Covid-19. However, considering the Company’s liquidity position and access to diverse sources of funds, we have been able to steer through the challenging times without any pressures. The situation has been under close watch by the management to take prompt actions in the best interest of the Company and the stakeholders in an optimised manner. Several Govt. announcements as Covid-19 relief measures will further improve liquidity position for NBFCs and pave way for power sector reforms”, said Sanjeev Kumar Gupta, Chairman & Managing Director and Director (Technical).