Power Finance Corporation logs highest ever net profit of Rs 8,444 cr for FY 21, up 49% on year.
State-owned non-banking financial firm Power Finance Corporation (PFC) records highest ever net profit of 8,444 cr for FY 21, up 49% on Y-o-Y basis.
Ø Standalone
· Highest Annual PAT of Rs.8,444 cr.
· 49% jump in Standalone Profit After Tax from FY ’20 . PAT at Rs.8,444 cr. for FY’21. Vs Rs.5,655 cr. in FY ’20
· 28% increase in Net Interest Income from FY’20 – Net Interest Income at Rs. 12,951 cr. for FY’21 vs.Rs.10,097 cr. in FY ’20
· Dividend of Rs.2 declared per share. Thus, in FY 21, PFC has given a total dividend of Rs. 10 per share i.e. 100%.
· Aided by profit growth, PFC’s net worth for FY 21 is up by 16% to Rs.52,393 cr. and has crossed the fifty thousand mark.
· 25% Stressed Book Resolved in FY 21:
o Gross NPA ratio saw a sharp reduction of 238 bps from FY’20. The current GNPA ratio is at 5.70% against 8.08% inFY’20.
o Lowest Net NPA levels in past 4 years. Net NPA ratio saw a sharp reduction of 171 bps from FY’20. The current Net NPA ratio is at 2.09% against 3.80% in FY’20.
· The Capital Adequacy Ratio of the Company has also improved sequentially to 18.83% as on 31st March 2021. The capital adequacy is at a comfortable level with sufficient cushion over & above the prescribed regulatory limits.
Ø Consolidated
FY’21 Vs FY’20
· 66% increase in consolidated Profit After Tax from FY’20 – PAT at Rs. 15,716 cr. for FY’21 vs. Rs.9,477cr. for FY’20.
· Loan Asset book grows at 12% – Loan asset book for FY 21 at Rs.7, 45, 189 cr. vs. Rs.6,67,330 cr. in FY’20
· Reduction in consolidated net NPA ratio to 1.91% in FY 21 from 3.57% in FY’20 due to resolution of stressed assets.
· Reduction in consolidated Gross NPA ratio to 5.29% in FY 21 from 7.36% in FY’20 due to resolution of stressed assets.
Ø Liquidity support to Discoms under Aatma Nirbhar Bharat Abhiyaan
· Under the Aatma Nirbhar Discoms liquidity support announced by the GOI, PFC & its subsidiary REC combined together, have so far sanctioned Rs.1,34,782 cr. and disbursed Rs.78,855 cr.
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