IRFC Q1 Results Highlights: Revenue increases to ₹6,765 cr; Net Profit Stable Y-o-Y

Indian Railways Finance Corporation Ltd. posted a revenue of ₹6,765 crore, reflecting a 1.4% growth. The net profit was largely stable compared to the previous year, coming in at ₹1,576 crore. Net Interest Income, or core income for the quarter, increased by 1.8%. Overall, IRFC's revenue and net profit remained steady on a year-on-year basis.

IRFC Q1 Results Highlights

• Indian Railways Finance Corporation Ltd. (IRFC), a railway financier, has reported a revenue of ₹6,765 crore, marking a 1.4% increase from the ₹6,673 crore it recorded in the same quarter last year.
• IRFC shares are currently trading 1.9% higher at ₹188.1. As of Monday's close, the stock had corrected nearly 20% from its peak of ₹229, which was reached on July 15.
• The company's net profit remained largely unchanged year-on-year, standing at ₹1,576 crore, compared to ₹1,551 crore in the previous year.
• Net Interest Income, or core income for the quarter, saw a 1.8% increase from the previous year, reaching ₹1,611 crore.
• The state-owned enterprise has yet to reveal its asset quality metrics.
• For the June quarter, both IRFC's revenue and net profit remained flat on a year-on-year basis. However, while revenue was higher compared to the March quarter, net profit experienced a decline.
• Previously, IRFC announced a final dividend of ₹0.7 per share, with August 22, 2024, set as the record date to determine shareholder eligibility.

IRFC, along with its peers like RVNL, IRCON, and RailTel, gained attention on Monday following the approval by The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, of eight Ministry of Railways projects totaling an estimated ₹24,657 crore on Friday. These projects are expected to be completed by the financial year 2030-2031. For 2024, IRFC shares have risen by 87%, and over the past 12 months, the stock has seen a 269% gain.

About Indian Railway Finance Corp Ltd

Indian Railway Finance Corp Ltd (IRFC) serves as the financing arm of the Ministry of Railways in India. The company secures funds through a variety of channels, including short-term loans, external commercial borrowings, taxable bonds, and institutional finance. 

Additionally, IRFC raises capital via tax-free bonds, equity, free reserves, and long-term rupee loans. The funds are primarily used to support the railway sector's plan outlay, including the procurement of locomotives, coaches, and wagons. The company also provides leasing options for financing rolling stock and project assets related to railways. IRFC is based in New Delhi, India.