Power Finance Corporation logs highest ever net profit of Rs 8,444 cr for FY21

New Delhi: Power Finance Corporation (PFC), a non-banking financial firm under the Ministry of Power, has recorded the highest ever net profit of Rs 8,444 crore for FY 21, up 49 per cent on a year on year (Y-o-Y) basis. In a statement, the PFC said that there is a 49 per cent jump in standalone profit after tax (PAT) from FY ’20, while there is 28 per cent increase in net interest income to Rs 12,951 crore for FY’21 from Rs 10,097 crore in FY ’20.

The dividend of Rs 2 per share was declared, thus in FY 21, PFC has given a total dividend of Rs 10 per share, that is, 100 per cent. Aided by profit growth, PFC’s net worth for FY 21 is up by 16 per cent to Rs 52,393 crore. The public sector undertaking said that 25 per cent of stressed books were resolved in FY 21. Gross NPA ratio saw a sharp reduction of 238 basis points from FY’20. The current GNPA ratio is at 5.70 per cent as against 8.08 per cent inFY’20.

The net NPA ratio saw a sharp reduction of 171 basis points from FY’20. The current net NPA ratio is at 2.09 per cent against 3.80 per cent in FY’20. The capital adequacy ratio of the company has also improved sequentially to 18.83 per cent as on March 31, 2021. The capital adequacy is at a comfortable level with sufficient cushion over and above the prescribed regulatory limits, said the PFC in the statement. /BI/