Power Finance Corporation Ltd. (PFC), the nation’s premier energy-focused financial institution, today announced its audited financial results for the quarter and fiscal year ended March 31, 2026. During a press conference held in Mumbai, the company revealed a year of historic milestones, characterized by double-digit profit growth, exceptional asset quality improvements, and a strategic roadmap centered on the proposed merger with REC to solidify its dominance in the power sector.
Consolidated Financial Performance: A Year of Superlatives
The PFC Group has further cemented its position as India’s largest NBFC Group, boasting a total balance sheet size exceeding ₹12.40 lakh crores.
- Record Profitability: Registered the highest-ever annual Profit After Tax (PAT) of ₹33,625 crores, a 10% increase from ₹30,514 crores in FY’25.
- Strengthened Net Worth: Consolidated Net Worth (including non-controlling interest) rose by 12% to reach ₹1,73,441 crores.
- Superior Asset Quality:
- Consolidated Gross NPA plummeted to 0.66% (from 1.64% in FY’25).
- Consolidated Net NPA reached an all-time low of 0.13% (from 0.38% in FY’25).
Standalone Financial Highlights: Milestone Achievements
PFC continues to lead as the highest profit-making NBFC in the country on a standalone basis.
- PAT & Dividend: Achieved its highest annual PAT of ₹20,051 crores (up 16% YoY). The Board has proposed a final dividend of ₹3.95 per share, bringing the total dividend for FY’26 to ₹18.55 per share.
- Net Worth Milestone: PFC’s standalone net worth surpassed the ₹1 lakh crore mark, standing at ₹1,02,532 crores.
- Loan Book & Capital: Backed by robust disbursements of ₹1,65,414 crores, the loan book grew to ₹5,80,115 crores. The Capital Adequacy Ratio (CRAR) remains strong at 23.44%.
- Resolution Success: Following the successful resolution of TRN Energy and Sinnar Thermal, standalone Net NPA improved to 0.15%.
Management Insights
Ms. Parminder Chopra, CMD, PFC: “FY26 has been a year of strong performance, important milestones, and also a challenging global environment. A key development for us has been the proposed merger of PFC and REC, which marks a significant step towards creating a single, focused institution for the power sector. This will pave the way for greater scale, improved efficiencies, and unlocking of capital synergies, positioning us for the next phase of sectoral leadership. With a strong capital base of ₹1 lakh crore even on a standalone basis, we remain committed to supporting the evolving needs of the power sector, defined by energy transition and new and emerging technologies.”
Mr. Rajesh Kumar Agarwal, Director (Finance): “FY 26 has been another year of resilient and record performance. For the first time, the net profit crossed ₹20,000 milestone and is at ₹20,051 crore, the highest-ever annual profit. Also, with the successful resolution of Sinnar Thermal and TRN Energy during the year, our net credit impaired asset ratio has further improved to its lowest level at around 0.15%. Our net worth has also crossed a key milestone of ₹1 lakh crore and stands at ₹1,02,532 crore, reflecting a growth of 13% year-on-year.”
Through these landmark achievements, PFC reaffirms its pivotal role as the financial backbone of India’s power sector, driving both traditional infrastructure and the green energy transition toward a sustainable future.
