(THE NEWSMAN OF INDIA.COM)
New Delhi, February 12, 2025: Power Finance Corporation (PFC), India’s leading power sector financial institution, has reported robust growth for the third quarter (Q3) and nine months (9M) of the financial year 2025. The company’s consolidated and standalone financial results reflect its strong operational performance, strategic focus, and continued emphasis on asset quality and growth.

Consolidated Financial Highlights
PFC reported a 17% increase in Consolidated Profit After Tax (PAT), which surged to ₹22,157 crore for 9M FY25 from ₹18,905 crore during the same period in FY24. This increase in profitability underscores PFC’s efficient operational strategies and resilient financial performance.

The consolidated Net Worth (including non-controlling interest) increased by 16%, from ₹1,27,841 crore as of December 31, 2023, to ₹1,51,338 crore as of December 31, 2024. This growth reflects PFC’s robust capital base and enhanced shareholder value. In terms of asset growth, PFC’s Consolidated Loan Asset Book witnessed a 12% rise, reaching ₹10,69,436 crore by December 31, 2024, from ₹9,54,483 crore a year earlier. The company has also demonstrated a strong commitment to improving its asset quality. Consolidated Net NPA (Non-Performing Assets) decreased to a record low of 0.73% in 9M FY25, compared to 0.86% in the same period of FY24. The Gross NPA ratio also saw a notable decline of 83 basis points, from 3.13% in 9M FY24 to 2.30% in 9M FY25, reflecting PFC’s effective resolution efforts.

Standalone Financial Highlights

On a standalone basis, PFC posted a 23% year-on-year (YoY) increase in Q3 FY25 PAT, rising to ₹4,155 crore from ₹3,377 crore in Q3 FY24. For the nine-month period, PFC reported a PAT of ₹12,243 crore, marking an impressive 20% increase from ₹10,232 crore in 9M FY24. Reflecting the company’s commitment to maximizing shareholder value, PFC’s Board of Directors declared an interim dividend of ₹3.50 per share, bringing the total interim dividend for the year to ₹10.25 per share. PFC’s Loan Asset Book crossed the ₹5 lakh crore milestone, reaching ₹5,03,824 crore as of December 31, 2024. This achievement highlights the company’s growing financial strength and lending capacity. The renewable energy sector continues to be a key area of growth for PFC, with the Renewable Asset Loan Book increasing by 28% year-on-year, from ₹54,268 crore as of December 31, 2023, to ₹69,423 crore by December 31, 2024. PFC also demonstrated strong performance in asset quality, with the Gross NPA ratio improving to 2.68% for 9M FY25, and the Net NPA ratio dropping to its lowest-ever level of 0.71%.

Sandeep Kumar, Director (Finance), commented on PFC’s impressive performance, saying, “We delivered a remarkable 23% YoY increase in PAT for Q3, achieving a profit of ₹4,155 crore. Our improving asset quality, reflected in the lowest-ever Net NPA ratio, further strengthens our financial position.”

Ms. Parminder Chopra, Chairman and Managing Director, shared her perspective on the company’s growth, stating, “PFC’s strong Q3 and 9M performance demonstrates our strategic focus and operational excellence. The interim dividend of ₹3.50 per share declared this quarter underscores our commitment to maximizing shareholder value. Our renewable portfolio registered a 28% YoY growth this quarter, reinforcing PFC’s position as India’s largest renewable energy lender. We are confident in our ability to sustain this positive momentum and deliver continued growth.”

About PFC
Power Finance Corporation Limited (PFC) is a leading public sector financial institution and is a key player in financing the Indian power sector. PFC provides financial support to various power generation, transmission, and distribution projects in the country. The company is committed to promoting sustainable growth by investing in the renewable energy sector and driving financial solutions that support India’s energy transition goals.