Synopsis:
Indian Renewable Power Growth Company jumped sharply after the corporate’s income rose 26% YoY to Rs 2,030 crore, whereas web revenue doubled to Rs 549 crore QoQ. Asset high quality improved with GNPA at 3.97% and NNPA at 1.97%, and the price of borrowing fell to 7.24%, reflecting stronger monetary effectivity and progress momentum within the renewable financing area.
The shares of this main Navratna PSU engaged within the enterprise of inexperienced power financing are in focus after a stellar Q2 FY26 efficiency. On this article, we’ll dive extra into the small print.
With a market capitalization of Rs 42,560 crore, the shares of Indian Renewable Power Growth Company Ltd made a day excessive of Rs 155.65 per share, up by 5 p.c from its day’s low of Rs 148.25 per share. Within the final one 12 months, the inventory has corrected by over 38 p.c, as in comparison with NIFTY 50’s return of 0.33 p.c.
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Q2 Highlights
IREDA has reported a complete income from operations of Rs 2,057 crore in Q2 FY26, a progress of 26 p.c as in comparison with Rs 1,630 crore in Q2 FY25. Moreover, on a quarter-on-quarter foundation, it grew by 6 p.c from Rs 1,948 crore.
Relating to its profitability, it reported a web revenue of Rs 549 crore in Q2 FY26, a progress of 42 p.c as in comparison with Rs 388 crore in Q2 FY25. Moreover, on a quarter-on-quarter foundation, it grew by a staggering 123 p.c from Rs 247 crore.
Coming to asset high quality, it reported a GNPA of three.97 p.c in Q2 FY26 as in comparison with 4.13 p.c in its earlier quarter. Moreover, its NNPA additionally improved to 1.97 p.c in Q2 FY26 as in comparison with 2.06 p.c throughout the identical interval.
On a year-on-year foundation, the corporate’s Internet Curiosity Margin (NIM) improved to three.72 p.c in Q2 FY26 from 3.34 p.c in Q2 FY25, reflecting higher lending profitability and environment friendly deployment of funds.
The Price of borrowing declined notably to 7.24 p.c from 7.80 p.c, indicating improved funding effectivity and a extra favorable borrowing combine. In the meantime, the Provision Protection Ratio (PCR) barely decreased to 51.48 p.c from 52.98 p.c, suggesting a marginal discount in buffer ranges towards potential mortgage losses, although it nonetheless stays at a wholesome stage, highlighting prudent threat administration.
Indian Renewable Power Growth Company Restricted (IREDA) is a non-banking monetary establishment that gives monetary help for renewable power and power effectivity tasks in India. The corporate assists in funding and supporting tasks primarily based on photo voltaic, wind, hydro, and waste-to-energy sources, in addition to power conservation tasks.
Written by Satyajeet Mukherjee
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