Q1 2025 REC Limited Earnings Call Transcript
Key Points
- REC Ltd (BOM:532955) reported a 24% increase in sanctions, reaching INR 1,12,791 crores in Q1 FY '25.
- Disbursements grew by 28%, totaling INR 43,652 crores for the quarter.
- The company's asset under management (AUM) saw a 17% growth, standing at INR 5,29,739 crores.
- Net interest income increased by 30%, reaching INR 4,713 crores.
- Gross NPA reduced by 7%, now at 2.61%, and net NPA decreased to 0.82%.
- The total borrowings outstanding increased by 15%, reaching INR 4,58,794 crores.
- Specific standard accounts saw some additions, impacting provisions negatively.
- The average cost of funds, although reduced, still stands at 7.05%, which could be a concern in a rising interest rate environment.
- There is a dependency on the resolution of stressed assets for write-backs, which may not be guaranteed.
- The company faces competition in the renewable energy sector, which could impact its market share and margins.
Ladies and gentlemen, good day, and welcome to the REC Limited Q1 FY '25 Earnings Conference Call hosted by Elara Securities Private Limited. [Operator Instructions] Please note that this conference is being recorded. I now hand the conference over to Ms. Shweta Daptardar from Elara Securities Private Limited. Thank you and over to you, ma'am.
Thank you, Neha. Good morning all. On behalf of Elara Securities, we welcome you all to Q1 FY '25 Earnings Conference Call of REC Limited. From the esteemed management team, we have with us today Mr. Vivek Kumar Dewangan, IAS, Chairman and Managing Director; Mr.
Vijay Kumar Singh, Director of Projects; Mr. Harsh Baweja, Director of Finance; and other senior officials from the team. Without further ado, I hand over the call to Mr. Vivek Kumar Dewangan for his opening remarks, post which we can open the floor for Q&A. Thank you, and over to you, sir.
- (
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
