Power Finance Corporation Reports Q4 FY26 Earnings with 2.8% Profit Increase
PFC Q4 Results 2026: Cons net profit rises 2.8% to ₹8,598 crore, revenue down 1%; dividend declared
Mint
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Power Finance Corporation (PFC) reported a 2.87% increase in consolidated net profit to ₹8,598 crore for Q4 FY26, despite a 1% decline in revenue to ₹28,919.52 crore. The company also declared a final dividend of ₹3.95 per share, adding to the interim dividends already paid.
- 01PFC's net profit rose by 2.87% to ₹8,598 crore in Q4 FY26.
- 02Revenue decreased by 1% to ₹28,919.52 crore compared to the previous year.
- 03A final dividend of ₹3.95 per share was recommended, in addition to interim dividends of ₹14.60.
- 04Net interest income fell by 10.54% to ₹10,833 crore, indicating margin pressure.
- 05PFC's asset quality improved, with the Gross Credit Impaired Assets Ratio at 1.09%.
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Power Finance Corporation (PFC), a Navratna Public Sector Undertaking (PSU) in India, announced its financial results for the quarter ending March 2026 (Q4 FY26) on May 13. The company's consolidated net profit rose by 2.87% to ₹8,598 crore compared to ₹8,358 crore in the same quarter last year. However, revenue from operations fell slightly by 1% to ₹28,919.52 crore from ₹29,285 crore in Q4 FY25.
PFC also declared a final dividend of ₹3.95 per equity share for FY25-26, subject to shareholder approval, in addition to interim dividends totaling ₹14.60 per share that were paid earlier in the year. The final dividend will be disbursed within 30 days of approval at the upcoming Annual General Meeting (AGM).
The company faced challenges as net interest income decreased by 10.54% year-on-year to ₹10,833 crore, primarily due to higher funding costs outpacing interest income, which pressured profit margins. Operating profit also saw a decline, falling 1.74% to ₹6,432.22 crore compared to the previous year. On a positive note, PFC's asset quality improved, with the Gross Credit Impaired Assets Ratio decreasing to 1.09% from 1.64% in the previous quarter. Following the earnings announcement, PFC's shares rose by 2%, trading at ₹449.65, and have gained 24% in 2026.
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The increase in net profit and the declaration of dividends may positively influence investor sentiment and provide returns to shareholders, while the decline in net interest income could affect lending rates.
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