PFC Q3 FY26 Results: Net Profit Surges 15% to ₹4,763 Crore; Dividend Declared
By Kaushik Dt 06, February 2026
The Navaratna Powerhouse ,Power Finance Corporation (PFC), has once again proven its dominance in the Indian power sector. On February 5, 2026, the company released its unaudited financial results for the third quarter (Q3) of the fiscal year 2025-26.
With a robust 15% growth in standalone profit and a significant announcement regarding its merger with REC Ltd, PFC is currently the talk of the town for investors and market analysts alike.
Top Financial Highlights (Standalone)
The standalone performance of PFC for the quarter ending December 31, 2025, reflects steady operational efficiency and strong interest income.
* Net Profit: ₹4,763.33 Crore (Up 15% YoY from ₹4,154.92 Crore)
* Total Revenue: ₹14,655.84 Crore (Up 12.4% YoY)
* Interest Income: ₹13,935.87 Crore (Up from ₹12,417.22 Crore)
* Earnings Per Share (EPS): ₹14.43 for the quarter.
Dividend Declaration: Shareholder Rewards
In line with its tradition of consistent payouts, the PFC Board has declared a third interim dividend of ₹4 per equity share (In line with its tradition of consistent payouts, the PFC Board has declared a third interim dividend of ₹4 per equity share (40% on the face value of ₹10).
Important Dates for Investors:
* Record Date: February 20, 2026
* Payment Date: On or before March 6, 2026
This takes the cumulative interim dividend for the financial year 2025-26 to ₹11.35 per share.
This takes the cumulative interim dividend for the financial year 2025-26 to ₹11.35 per share.
Overall Performance and Asset Health
On a consolidated basis—which includes results from its subsidiary REC Limited—PFC reported a net profit of ₹8,211.90 crore, marking a 6% year-on-year growth.
Perhaps the most impressive part of the report is the improvement in Asset Quality.
* Gross Stage 3 Assets (NPA): Improved to 1.64% (compared to 1.94% in March 2025).
* Provision Coverage: Remained high at 84.23%, indicating a very healthy and protected balance sheet.
* Loan Book: The consolidated loan book now stands at a massive ₹11.51 lakh crore.
Strategic Move: The PFC–REC Merger
n a landmark move following the Union Budget 2026 roadmap, the PFC board has given “in-principle” approval for a merger with REC Ltd. This restructuring aims to create a massive, single-balance-sheet entity that can achieve unprecedented scale in power sector financing.
CMD Parminder Chopra highlighted that the company’s renewable energy book has grown by 28%, showcasing PFC’s pivot toward India’s green energy transition.
Market Outlook and Final Verdict
Following the results, PFC’s stock showed resilience, trading near the ₹415–₹418 range. With a Capital Adequacy Ratio (CRAR) of 22.39%, the company is well-capitalized to fund India’s ambitious power infrastructure goals over the next decade.
For long-term investors, the combination of a healthy dividend yield, improving asset quality, and the strategic merger makes PFC one of the strongest PSU bets in the current market.
Disclaimer :
This blog does not provide financial, investment, or trading advice. All content is for educational and informational purposes only. Please consult a certified financial advisor before making any investment decisions. The author will not be responsible for any financial losses incurred
