Power Finance Corporation profit up 34% in Q1 FY22
NEW DELHI: State owned financier Power Finance Corporation (PFC) has reported robust growth in its profitability during April-June quarter with its standalone net profit jumping 34 per cent.
The company's net profit in the Q1 period of FY22 stood at Rs 2,275 crore as compared to profit of 1,700 crore in the same period of previous year.
During the quarter, the financier's Net Interest Income rose 15 per cent to Rs 3,525 crore as against Rs 3,073 crore in Q1'21. PFC declared Interim Dividend of Rs 2.25 per share.
Aided by profit growth, PFC's net worth for Q1'22 is up by 17 per cent to Rs 54,739 crore from Rs 46,940 crore in Q1'21.
The Capital Adequacy Ratio of the Company has crossed 20 per cent — CRAR of 21.16 per cent as on June 30, 2021. The capital adequacy is at a comfortable level with sufficient cushion over and above the prescribed regulatory limits. With the objective to fortify the balance, provisioning coverage on Stage III (NPA) Assets enhanced to 65 per cent. This has resulted in lowest Net NPA levels of 2 per cent in the past 3 years.
Revamped Distribution Sector Scheme with an outlay of Rs 3,03,758 crore provide significant business opportunity to PFC going forward. PFC along with our subsidiary REC have been designated as nodal agencies for facilitating implementation of the Scheme. (IANS)
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