Power Finance Corporation net up 17 pc at Rs 3,963 cr in Dec quarter

State-run Power Finance Corporation (PFC) on Thursday posted a 17 per cent jump in its consolidated net profit at Rs 3,963.18 crore for the quarter ended in December.

The firm's consolidated net profit was at Rs 3,386.72 crore in the year-ago period, a BSE filing said.

The firm's total income rose to Rs 18,441.72 crore in the quarter under consideration from Rs 15,878.04 crore in the same period a year ago.

On the pandemic's impact, the company said that there will not be a significant impact of this outbreak in continuing its business operations, maintaining its financial position, and assessing its ability to continue as a going concern.

Commenting on the results, PFC Chairman and Managing Director R S Dhillon said: ''I am happy to see that PFC has so far navigated the pandemic well with a high level of resilience. This quarter results are a testament to this. With Indian economy getting back on track of recovery, I feel positively about the recovery in Indian power sector.'' '' I believe that PFC is in a strong financial position to leverage on attractive growth opportunities.'' PFC Director Finance Parminder Chopra said, ''3rd quarter has been remarkable for PFC with quarterly profit reaching an all-time high. Our overall third-quarter results reflect the strong operational strength and solid fundamentals of PFC in a continuing challenging environment.'' According to a statement, under the Aatma Nirbhar Discoms liquidity support announced by the GOI, PFC & its subsidiary REC Ltd combined together, have so far sanctioned Rs 1,35,497 crore (loans to state utilities) and disbursed Rs 46,074 crore.

The company has reduced consolidated net NPA (non-performing assets or bad loans) ratio from 3.56 per cent in Q3'20 (third quarter of 2019-20) to 2.12 per cent in Q3'21 ( third quarter of 2020-21) due to resolution of stressed assets, it said.

It has also reduced the consolidated Gross NPA (bad loan) ratio from 7.41 per cent in the third quarter of the financial year 2019-20 to 5.48 per cent in the third quarter of fiscal 2020-21 due to the resolution of stressed assets.

This quarter has all been about delivering on the past promises, and despite a challenging operating environment, PFC has been successful in holding its promises and providing a robust performance, it added.