Power Finance Corporation ended FY20 on a strong note despite numerous challenges including outbreak of COVID 19.
The lending institution recorded loan sanctions of more than Rs. 1 lakh crore and loan disbursements of about Rs.68,000 crore in FY20.
The highlight of the year was disbursement of Rs.11,000 crore in the last week of March 2020 despite the nationwide lockdown to contain the spread of COVID 19.
In spite of challenging environment, net profit in FY20 is comparable at Rs.6788 crore as against Rs.6,953 crore of FY19 excluding one-time impact of DTA due to change in corporate tax rate. Profit was also impacted due to extraordinary exchange rate variation of 6 per cent in the last 45 days of FY20.
During the year, PFC also registered 16 per cent growth in its standalone revenue while it managed 16 bps (basis points) reduction in cost of funds. The net NPAs of the company reduced to 3.8 per cent from 4.55 per cent.
During FY20, PFC resolved two stressed projects – Rattan India Amrawati and GMR Chhattisgarh, together worth Rs 2,700 crore.
Financial highlights of FY20:
- Revenue growth: 15 per cent
- Loan Asset growth: 12 per cent
- NPA reduction: 3.57 per cent in FY20 from 4.20 per cent in FY19
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