POWER FINANCE CORPORATION ANNOUNCES ROBUST

POWER FINANCE CORPORATION ANNOUNCES ROBUST FINANCIAL PERFORMANCE
FOR Q1 FY 2020-21

·         Q1 CONSOLIDATED PAT UP 23% AT ₹3,557  CRORE AS AGAINST ₹2,900 CRORE

•             23% increase in consolidated Profit After Tax from Q1’20 - PAT at ₹ 3,557 crore for Q1’21 vs. ₹ 2,900 cr. for Q1’20

•             16% increase in Consolidated Revenue from Operations from Q1’20 - Consolidated Revenues at ₹ 16,914 cr. for Q1’21. Vs.14,595 cr. for Q1’20

•             Reduction in consolidated net NPA ratio from 4.20% in Q1’20 to 3.15% in Q1’21 due to resolution of stressed assets.

•             Net NPA drops by 124 bps from Q1’20 due to resolution of two stressed assets i.e. Essar Power Transmission Ltd. & Suzlon Energy Ltd. Net NPA ratio as on 30.06.2020 is at 3.41% vs. 4.65% in Q1’20, the lowest in past 4 years

•             23% jump in Standalone Profit after Tax from Q1’20 - PAT at ₹ 1,700 cr. for Q1’21. Vs ₹1,383 cr. Q1’20

Government owned Power Finance Corporation Ltd., one of India's leading NBFC companies, today announced its financial results for the quarter ended 30th June 2020.

PERFORMANCE HIGHLIGHTS:

CONSOLIDATED

•             23% increase in consolidated Profit After Tax from Q1’20 - PAT at ₹ 3,557 cr. for Q1’21 vs. ₹2,900 cr. for Q1’20

•             16% increase in Consolidated Revenue from Operations from Q1’20 - Consolidated Revenues at ₹ 16,914 cr. for Q1’21. Vs.14,595 cr. for Q1’20

•             Reduction in consolidated net NPA ratio from 4.20% in Q1’20 to 3.15% in Q1’21 due to resolution of stressed assets.

•             Comfortable capital levels to support future growth - Consolidated CRAR at 16.48% as on 30.06.2020

STANDALONE

•             Net NPA drops by 124 bps from Q1’20 due to resolution of two stressed assets i.e. Essar Power Transmission Ltd. & Suzlon Energy Ltd. Net NPA ratio as on 30.06.2020 is at 3.41% vs. 4.65% in Q1’20, the lowest in past 4 years

•             23% jump in Standalone Profit after Tax from Q1’20 - PAT at ₹ 1,700 cr. for Q1’21. Vs ₹1,383 cr. Q1’20

•             16% increase in Interest Income from Q1’20 – Interest Income at ₹ 8,749 cr. for Q1’21 vs.7,531 cr. Q1’20

•             Gross NPA ratio saw a drastic reduction of 211 bps from Q1’20. The current GNPA ratio is at 7.50% against 9.61% in Q1’20.

•             Even in a challenging operating environment, key financial indicators maintained within a stable range. Net Interest Margin on earning assets for Q1’21 at 3.48% as against 3.06% in Q1’20.

•             Comfortable capital adequacy levels at 17.32% having sufficient cushion over & above the prescribed regulatory limits

•             Comfortable liquidity position to meet the debt obligations and future business growth

             ₹90,000 cr. liquidity support to Discoms under Aatma Nirbhar Bharat Abhiyaan

•             PFC & REC has so far sanctioned more than ₹60,000 cr. under the ₹90,000 cr. Discoms liquidity support announced by the GOI under the Aatma Nirbhar Bharat Abhiyaan.