REC Limited reported its highest-ever annual financial performance for FY2025-26, driven by strong growth in lending, record loan sanctions and disbursements, while significantly expanding its renewable energy financing portfolio and strengthening its environmental, social and governance (ESG) framework.
The Maharatna public sector non-banking financial company (NBFC) posted a record net profit of ₹16,282 crore, up from ₹15,713 crore in the previous fiscal, with total income rising to ₹59,187 crore. REC’s outstanding loan book increased to ₹5.84 lakh crore, while annual loan sanctions reached an all-time high of ₹4.09 lakh crore and disbursements climbed to ₹2.11 lakh crore, reflecting sustained demand for financing across India’s power and infrastructure sectors. Net worth also rose to ₹84,290 crore at the end of March 2026.
Renewable energy remained a key growth driver during the year, with REC’s renewable loan book expanding to ₹75,347 crore, accounting for nearly 13% of its total outstanding loan portfolio. The company sanctioned financing for approximately 13.35 GW of clean energy projects, including solar, wind, hybrid, pumped storage and large hydro projects, while renewable loan sanctions during FY2025-26 totalled ₹85,008 crore. REC said its renewable energy portfolio helped avoid an estimated 12.2 million tonnes of CO₂ emissions during the year, supporting India’s energy transition goals.
The annual report also highlighted REC’s progress in ESG implementation. During FY2025-26, the company secured the highest score among financial institutions in the NSE ESG Ratings, continued its commitment to achieve net-zero Scope 1 and Scope 2 emissions by 2035, and maintained 100% green power at both its corporate office and world headquarters. REC reported zero human rights and POSH complaints, zero data breach incidents, treated 100% wastewater at its corporate office through zero-discharge operations, and converted its entire office fleet to electric or hybrid vehicles.
The company further strengthened ESG integration by publishing its first ESG report aligned with the Global Reporting Initiative (GRI) framework, introducing company-wide ESG targets, initiating ESG assessments for private borrowers and suppliers, and launching incentives for ESG-compliant renewable energy borrowers. REC also reported training more than 18,000 borrower man-days through capacity-building initiatives while allocating ₹338 crore towards CSR activities during FY2025-26.
According to the report, REC continued to diversify beyond conventional power financing by expanding support for infrastructure and logistics projects while maintaining its strategic focus on renewable energy and sustainable finance. During FY2025-26, the company financed projects across power distribution, generation, transmission, renewable energy, and infrastructure, reinforcing its role in supporting India’s clean energy transition and infrastructure development.
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