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PFC Q1-22 Results: Standalone PAT increased 34 percent, net worth is up by 17 percent

Aided by profit growth, PFC’s net worth for Q1’22 is up by 17% to Rs.54,739 cr. from Rs. 46,940 cr. in Q1’21.

PFC Q1-22 Results: Standalone PAT increased 34 percent, net worth is up by 17 percent

New Delhi: Power Finance Corporation Limited has posted its quarter first of 2022 result, shows an increase of 34% in Standalone Profit After Tax from Q1’21 - PAT at Rs. 2,274 cr. for Q1’22 vs. Rs.1,700 cr. for Q1’21. And 28% increase in consolidated Profit After Tax from Q1’21 - PAT at Rs. 4,555 cr. for Q1’22 vs. Rs.3,557 cr. for Q1’21.

Standalone

  1.  34% increase in Standalone Profit After Tax from Q1’21 - PAT at Rs. 2,274 cr. for Q1’22 vs. Rs.1,700 cr. for Q1’21.
  2. 15% increase in Net Interest Income from Q1’21 - Net Interest Income at Rs. 3,525 cr. for Q1’22 vs.Rs.3,073 cr. in Q1’21
  3. Interim Dividend of Rs.2.25 declared per share.
  4. Aided by profit growth, PFC’s net worth for Q1’22 is up by 17% to Rs.54,739 cr. from Rs. 46,940 cr. in Q1’21.
  5. The Capital Adequacy Ratio of the Company has crossed 20% - CRAR of 21.16% as on 30.06.2021. The capital adequacy is at a comfortable level with sufficient cushion over & above the prescribed regulatory limits.
  6. With the objective to fortify the balance, provisioning coverage on Stage III (NPA) Assets enhanced to 65%. This has resulted in lowest Net NPA levels of 2% in the past 3 years.
  7. Revamped Distribution Sector Scheme with an outlay of Rs.3,03,758 crore provide significant business opportunity to PFC going forward. PFC along with our subsidiary REC have been designated as nodal agencies for facilitating implementation of the Scheme.

 

Consolidated

  1. 28% increase in consolidated Profit After Tax from Q1’21 - PAT at Rs. 4,555 cr. for Q1’22 vs. Rs.3,557 cr. for Q1’21
  2. 12% increase in Consolidated Revenue from Operations from Q1’21 - Consolidated Revenues at Rs. 18,965 cr. for Q1’22 vs. Rs.16,914 cr. for Q1’21.
  3. Loan Asset book grows at 9.5% - Loan asset book for Q1’22 at Rs. Rs.7,49,373cr. vs. Rs.6,84,383 cr. in Q1’21.
  4. Reduction in consolidated net NPA ratio to 1.80% in Q1’22 from 3.15% in Q1’21 due to resolution of stressed assets.
  5. Liquidity support to Discoms under Aatma Nirbhar Bharat Abhiyaan
  6. Under the Aatma Nirbhar Discoms liquidity support announced by the GOI, PFC & its subsidiary REC combined together have so far sanctioned Rs.1,35,537 cr. and disbursed Rs.79,678 cr.

 

Management Comments

Mr. R.S. Dhillon, CMD Remarks - PFC’s CMD commented that we have registered 34% increase in our profits and our performance this quarter once again showcases the inherent strength of PFC’s strong business. I'm also particularly pleased that with our consistence performance, we have been able to provide dividend return to our shareholders in the first quarter itself. Also, we
are glad to be a strategic partner with GoI for implementation of Revamped Distribution Sector Scheme, which is a step forward in creating sustainable Discoms. The scheme also presents us a good opportunity to grow our business further.


Ms. Parminder Chopra, Director (Finance) Remarks - PFC’s Director (Finance) commented that I am happy to say that our financial performance has been good, with robust revenues and profitability. As we look forward to an increasingly normal environment, we are committed to delivering strong performance in future also. Taken together, the business opportunities going forward and the strength of our business presents a promising picture for PFC’s future.

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