PFC Q4 Results FY26: Standalone Profit Rises 24% to Rs 6,315 Crore, Consolidated Net Profit Rs 8,598 Crore, Final Dividend Rs 3.95 Per Share

May 13, 2026
Posted by: Kunal Singla
Category: Market

PFC Q4 results for the quarter ended March 31, 2026 show Power Finance Corporation delivering a strong standalone net profit of Rs 6,314.8 crore, up 23.6 percent year-on-year from Q4 FY25, aided by lower expenses and a sharp sequential improvement from Q3 FY26’s Rs 4,782.3 crore. On a consolidated basis including subsidiary REC Limited, PFC reported a net profit of Rs 8,598 crore for Q4 FY26, up 2.8 percent year-on-year. The board declared a final dividend of Rs 3.95 per share, taking the total FY26 dividend to Rs 18.55 per share including interim dividends.

PFC, India’s largest power sector financier, has maintained its position as the dominant lender to power infrastructure projects across thermal, hydroelectric, renewable and transmission segments. The group’s total loan assets have crossed Rs 11.53 lakh crore, underscoring PFC’s systemic importance to India’s energy transition and power sector expansion.

Table of Contents

PFC Q4 FY26 Results: Key Financial Highlights

Q4 FY26 Standalone Net Profit: Rs 6,314.8 crore (up 23.6% YoY)
Q4 FY26 Consolidated Net Profit: Rs 8,598 crore (up 2.8% YoY)
Q4 FY26 Standalone Revenue from Operations: Rs 11,305.2 crore
Q4 FY26 Profit Before Tax (Standalone): Rs 7,780.6 crore (up 24.6% YoY from Rs 6,246.5 crore)
Q4 FY26 Total Income: Rs 11,622.9 crore (vs Rs 12,040.9 crore in Q4 FY25)
Q4 FY26 Total Expenses: Rs 3,842.3 crore (down sharply from Rs 5,794.4 crore in Q4 FY25)
FY26 Full Year Standalone Net Profit: Rs 24,011.2 crore (up ~41% from Rs 17,031.2 crore in FY25)
FY26 Full Year Revenue: Rs 43,874.7 crore (vs Rs 44,555.3 crore in FY25)
FY26 Consolidated PBT: Rs 42,850 crore
Total Loan Assets (Group): Rs 11,53,255 crore
Total Assets (Group): Rs 12,44,579 crore
Net Worth (Group): Rs 1,73,441 crore
Asset Quality: Gross NPA 1.09%, Net NPA 0.07% (among the best in Indian NBFCs)
Debt-Equity Ratio: 4.98 times
Final Dividend: Rs 3.95 per share
Total FY26 Dividend (including interim): Rs 18.55 per share

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Why PFC Q4 Profit Rose 24%: Key Drivers

Sharp Decline in Expenses: The Biggest Contributor

The most significant driver of PFC’s Q4 FY26 standalone profit growth is the dramatic reduction in total expenses to Rs 3,842.3 crore from Rs 5,794.4 crore in Q4 FY25, a decline of nearly Rs 1,952 crore. This expense reduction reflects lower provisioning requirements as asset quality continued to improve, reduced borrowing costs as PFC refinanced legacy debt at lower rates and efficient cost management at the operating level.

Asset Quality Among the Best in Indian NBFCs

PFC’s Q4 gross NPA ratio stands at just 1.09 percent and net NPA at a near-zero 0.07 percent. For an NBFC with Rs 11.53 lakh crore in loan assets, this asset quality represents remarkable risk management. The improvement in asset quality from historical highs reflects the recovery of power distribution companies (DISCOMs) and thermal power projects that had previously defaulted or been under stress, as India’s power sector finances have improved significantly through the UDAY scheme and subsequent state government support.

Loan Book Crossing Rs 11.53 Lakh Crore

PFC’s consolidated loan assets reaching Rs 11.53 lakh crore is a landmark milestone. This growth is driven by India’s aggressive infrastructure and renewable energy expansion, with PFC financing wind, solar, hydro and nuclear power projects alongside traditional thermal and grid infrastructure. PFC raised over Rs 10,600 crore through NCD issuances in Q4 FY26 to fund continued loan book expansion.

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PFC Dividend: Rs 3.95 Final Dividend, Total FY26 Rs 18.55 Per Share

The board declared a final dividend of Rs 3.95 per equity share for FY26, taking the total FY26 dividend to Rs 18.55 per share including all interim dividends paid during the year. At the current PFC share price, this represents one of the highest dividend yields among large-cap PSU stocks. The FY26 dividend per share of Rs 18.55 compares to FY25 total dividend per share, reflecting PFC’s commitment to consistent and growing shareholder returns. PFC has maintained a track record of increasing annual dividends as its profitability has grown.

Conclusion

PFC Q4 results for FY26 confirm Power Finance Corporation’s position as India’s most profitable power sector lender with highest-ever annual standalone profits of Rs 24,011 crore (up 41% YoY), near-zero net NPA at 0.07%, a loan book of Rs 11.53 lakh crore and a generous Rs 3.95 final dividend. The standalone Q4 profit beat at Rs 6,315 crore, driven by sharply lower expenses and improved asset quality, demonstrates the quality of PFC’s business model. Consult a SEBI-registered advisor before investing based on PFC Q4 results.

Disclaimer: Investment in the share market is subject to risk. This article is for informational and educational purposes only and does not constitute investment advice. Verify all numbers before investing. Consult a SEBI-registered advisor before making investment decisions.

FAQs on PFC Q4 Results FY26

What is PFC’s Q4 FY26 net profit?

Ans. PFC reported standalone Q4 FY26 net profit of Rs 6,314.8 crore, up 23.6 percent year-on-year. Consolidated net profit including subsidiary REC Limited was Rs 8,598 crore, up 2.8 percent. Full-year FY26 standalone net profit was Rs 24,011.2 crore, up approximately 41 percent from FY25.

What dividend did PFC declare with Q4 results?

Ans. PFC’s board declared a final dividend of Rs 3.95 per equity share. Including interim dividends paid during FY26, the total FY26 dividend stands at Rs 18.55 per share, making PFC one of the highest-yielding large-cap PSU stocks in the current financial year.

What is PFC’s asset quality and loan book size?

Ans. PFC’s consolidated loan assets stand at Rs 11,53,255 crore as of March 31, 2026. Asset quality is among the best in Indian NBFCs with a Gross NPA ratio of 1.09 percent and Net NPA of just 0.07 percent. The group’s total assets are Rs 12,44,579 crore with net worth of Rs 1,73,441 crore.

Q4 Results FY26

Author: Kunal Singla

Kunal Singla is the Associate Director - Research at Univest, leading quantitative equity research, intraday trading setups, and derivatives strategy. With 4+ years of experience in Indian equity markets, he combines rigorous quantitative methods with classical technical analysis to build high-conviction research frameworks for retail and advisory clients. He holds an MSc from the Indian Institute of Technology (IIT) Delhi — one of India's most selective institutions — and has completed the Certificate in Quantitative Finance (CQF), a globally recognised programme covering derivatives pricing, risk modelling, machine learning for finance, and advanced portfolio theory. This combination places him in a small group of Indian analysts with both deep academic training in quantitative methods and SEBI-recognised research credentials. Kunal holds seven SEBI-recognised NISM certifications spanning research, derivatives, portfolio management, and securities operations: Series-XV (Research Analyst), Series-XXI-A (Portfolio Managers), Series-XVI (Commodity Derivatives), Series-VIII (Equity Derivatives), Series-VII (SORM), Series-V-A (Mutual Fund Distributors), and Series-I (Currency Derivatives). At Univest — India's SEBI-registered research and advisory platform — Kunal leads research inputs for Pro Lite, Pro Super, Pro Gold, and Pro Commodity advisory services, alongside publishing intraday stock picks on Univest Blogs.