Powered by a forex gain and an increased demand for project financing, Rural Electrification Corporation Ltd (REC) posted a 25 per cent rise in fourth-quarter net profit last fiscal.
For the January-March quarter, net profit rose to Rs 700 crore from Rs 561 crore a year earlier. Total income rose over 23 per cent to Rs 2,306 crore for the quarter, the company said in a communication to the exchanges.
REC, which lends to the power sector projects, said total expenses increased to Rs 1,360 crore from Rs 1,117 crore. The company's income from other sources was higher at Rs 118 crore (Rs 35.98 crore), mainly on account of a foreign exchange gain of Rs 55.95 crore.
For 2010-11, REC posted a 28 per cent jump in net profit at Rs 2,569.92 crore, with total income surging 27 per cent to Rs 8,495 crore. The REC shares closed Tuesday's trade on the BSE down nearly 2 per cent at Rs 202.40.