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R E C L I M I T E D | A M A H A R A T N A C O M P A N Y Investor Performance Highlights | H1 FY 2026-27 Presentation
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Table of Contents REC Limited | Investor Presentation | H1 FY 2026-27 2 01 REC Overview 02 Financial Highlights 03 Operational Performance 04 Asset Quality 05 Shareholders Outlook 06 ESG at REC
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01 REC Overview
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REC Journey 4 1969 Journey began to develop power infrastructure in rural areas 1998 Registered as NBFC with RBI 2003 Mandate broadened to financing all power segments 2008 Conferred Navratna status and became a listed PSU 2010 Conferred IFC status by RBI 2014 Appointed as the nodal agency for DDUGJY scheme 2017 Appointed as Nodal Agency for SAUBHAGYA 2019 As Nodal Agency, achieved 100% Household Electrification 2021 Appointed as Nodal Agency for RDSS 2022 Conferred Maharatna status; Forayed into Infrastructure Sector 2024 Appointed as National programme implementing agency for PM Surya Ghar Muft Bijli Yojana 2025 First Indian PSU NBFC compliant with ISO 31000; Appointed Nodal Agency for India Energy Stack R E C O V E R V I E W Successfully launched India’s first pilot issuance of Tokenised Corporate Bonds under the SEBI Regulatory Sandbox Framework. 2025 2026 REC Limited | Investor Presentation | H1 FY 2026-27
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Key Strengths 5 Highest domestic rating of "AAA" Robust asset quality with healthy Provision Coverage Ratio Nodal agency for major Govt. of India's power sector programs International ratings of A- , "Baa3" and "BBB-" at par with Sovereign Rating Strategic leader in India's Power, Infrastructure and Logistics sector Major player in Renewable Energy and creation of India's Green Energy Corridor R E C O V E R V I E W REC Limited | Investor Presentation | H1 FY 2026-27
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Government's Trusted Arm 6 Rooftop Solar (RTS) Programme India Energy Stack (IES) Revamped Distribution Sector Scheme (RDSS) O T H E R S C H E M E S Late Payment Surcharge (LPS) Consumer Services Ratings of Discoms (Operational) National Electricity Fund (NEF) Pradhan Mantri Sahaj Bijli Har Ghar Yojana (SAUBHAGYA) Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY) R E C O V E R V I E W REC Limited | Investor Presentation | H1 FY 2026-27
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Diversified Portfolio 7 REC Financing across the power and infrastructure value chain Renewable Energy Conventional Generation Transmission Distribution Infrastructure Logistics R E C O V E R V I E W REC Limited | Investor Presentation | H1 FY 2026-27
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Awards and Accolades 8 NBFC of the Year 3rd Annual Bharat NBFC & FinTech Summit & Awards 2026 AI & GenAI Adoption Excellence Award 2nd Bharat PSU Manthan & Excellence Awards 2026 India's Most Influential CFO 2026 National Leadership Summit & Awards 2026 Global CSR Excellence and Leadership Awards 'Best CSR Projects in PSU' category Best Corporate Bond Issuer and Best PSU Issuer Silver Awards by the ASSOCHAM IX National Summit & Awards on Corporate Bond Market. First Prize from the Ministry of Power Ministry of Power for Outstanding Implementation of the Official Language Policy Data Centre Champion Award 2026 Data Centre Champion Award 2026 at the Data Centre & Infrastructure Summit 2026 by Indian Express Group ICPA Treasury Excellence Award Exceptional achievements and leadership in Treasury Management ESG and Responsible Business Award Net Green Foundation Earth Awards 2026 R E C O V E R V I E W
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02 Financial Highlights
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Key Financials: H1 FY27 vs H1 FY26 10 Net Profit ₹7,541 cr H1 FY26: ₹8,877 cr Total Income ₹29,068 cr H1 FY26: ₹29,828 cr Net Interest Income ₹10,116 cr H1 FY26: ₹10,687 cr Capital Adequacy Ratio at 24.04% (Tier-I: 22.29% | Tier-II: 1.75%) F I N A N C I A L H I G H L I G H T S REC Limited | Investor Presentation | H1 FY 2026-27 Loan Book ₹6.17 lakh cr H1 FY26: ₹5.82 lakh cr Net Credit-Impaired Assets 0.11% H1 FY26: 0.24% Net Worth ₹94,325 cr H1 FY26: ₹82,739 cr
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Revenue & Profits 11 ₹ in crore Particulars H1 FY27 H1 FY26 Interest income on loan assets (incl. DIPI) 28,398 28,765 Less: Finance costs (incl. fee & comm.) 18,282 18,078 Net Interest Income 10,116 10,687 Profit Before Tax 9,483 11,200 Tax 1,942 2,323 Profit After Tax 7,541 8,877 F I N A N C I A L H I G H L I G H T S REC Limited | Investor Presentation | H1 FY 2026-27
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Key Ratios 12 Particulars H1 FY27 12M FY26 Yield on Loan Assets (%) 9.57 9.96 Cost of Funds (%) 7.19 7.34 Interest Spread (%) 2.38 2.62 Net Interest Margin (%) 3.22 3.43 Return on Net Worth (%) 16.89 20.11 Interest Coverage Ratio (Times) 1.52 1.57 Debt Equity Ratio (Times) 5.60 6.00 3.22% Net Interest Margin 12M FY26: 3.43% 5.60x Debt Equity Ratio 12M FY26: 6.00x F I N A N C I A L H I G H L I G H T S REC Limited | Investor Presentation | H1 FY 2026-27
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03 Operational Performance
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Disbursements: Composition 14 ₹ in crore Sector Q2 FY27 Q2 FY26 12M FY26 Conventional Generation 6,132 8,616 25,653 Renewable Energy 9,656 5,809 28,896 Transmission 1,202 1,437 9,076 Distribution (excl. RBPF) 12,465 19,441 67,258 Infra & Logistics 2,915 2,828 7,785 Others 5,325 1,484 7,559 Total 37,695 39,615 1,46,227 RBPF 18,762 16,347 64,962 Grand Total 56,457 55,962 2,11,189 Q2 FY27 disbursement mix RBPF (33%) Conv. Generation (11%) Renewable Energy (17%) Distribution (22%) Infra & Logistics (5%) Transmission (2%) Others (10%) O P E R A T I O N A L P E R F O R M A N C E REC Limited | Investor Presentation | H1 FY 2026-27
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Outstanding Loan Assets 15 State vs Private (30 Sep 2026) State (84%) Private (16%) ₹6,16,537 cr Total loan assets, 30 Sep 2026 (Mar 2026: ₹5,83,659 cr) Discipline-wise 30 Sep 2026 % 31 Mar 2026 % State 5,14,904 84 4,94,596 85 Private 1,01,633 16 89,063 15 Total 6,16,537 100 5,83,659 100 Distribution 2,27,583 37 2,22,353 38 Conventional Generation 1,52,292 25 1,46,100 25 Renewable Energy 86,660 14 75,347 13 Infra & Logistics 61,637 10 57,852 10 Transmission 45,010 7 44,790 8 Others 20,651 3 18,201 3 Total (excl. RBPF) 5,93,833 96 5,64,643 97 RBPF 22,704 4 19,016 3 Total 6,16,537 100 5,83,659 100 O P E R A T I O N A L P E R F O R M A N C E ₹ in crore REC Limited | Investor Presentation | H1 FY 2026-27
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Outstanding Borrowings 16 Particulars 30 Sep 2026 31 Mar 2026 (A) Domestic Bonds 2,90,042 2,76,613 Loans from Banks, FIs, NSSF, etc. 86,637 79,775 Commercial Papers 10,000 3,000 Sub Total (A) 3,86,679 3,59,388 (B) Foreign Currency External Commercial Borrowings 1,36,457 1,38,248 FCNR (B) Loans 4,799 8,141 Sub Total (B) 1,41,256 1,46,389 Grand Total (A+B) 5,27,935 5,05,777 Borrowing profile (30 Sep 2026) Bonds (55%) ECB (26%) Loans (Banks, FIs, NSSF) (16%) Others (CP, FCNR) (3%) Nearly 99% of total foreign currency borrowings are hedged. O P E R A T I O N A L P E R F O R M A N C E ₹ in crore REC Limited | Investor Presentation | H1 FY 2026-27
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04 Asset Quality
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Asset Quality and Provisioning Coverage 18 4.84 4.45 3.42 2.71 1.35 0.24 0.22 1.71 1.45 1.01 0.86 0.38 0.12 0.110% 1% 2% 3% 4% 5% Mar-21 Mar-22 Mar-23 Mar-24 Mar-25 Mar-26 Sep-26 Continuously improving asset quality (% of loan assets) Gross credit-impaired assets % Net credit-impaired assets % ~51% Provision Coverage Ratio 0.22% Gross credit-impaired assets, from 4.84% in Mar-21 0.11% Net credit-impaired assets, from 1.71% in Mar-21 A S S E T Q U A L I T Y REC Limited | Investor Presentation | H1 FY 2026-27
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Loan Portfolio and ECL Provisioning 19 As on 30 Sep 2026 | ₹ in crore Outstanding Loan Assets Stage I Stage II Stage III Total State Sector 5,12,947 1,957 - 5,14,904 Private Sector 98,975 1,278 1,380 1,01,633 Total Outstanding 6,11,922 3,235 1,380 6,16,537 % of Total Loan Assets 99.26% 0.52% 0.22% 100% Provisioning 5,211 146 706 6,063 Provisioning (%) 0.85% 4.51% 51.16% 0.98% Net Assets 6,06,711 3,089 674 6,10,474 In addition, reserves are available: ₹18,736 crore Statutory Reserve u/s 45-IC of the RBI Act and ₹1,210 crore Reserve for Bad & Doubtful Debts u/s 31(1) of the Income Tax Act, 2025. A S S E T Q U A L I T Y REC Limited | Investor Presentation | H1 FY 2026-27
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Credit Impaired Assets: Resolution Status Resolution status of credit-impaired assets Under NCLT 2 projects worth ₹1,380 crore in NCLT 51% provision 1 project resolved during H1 FY27 worth ₹4.16 crore settled outside NCLT A S S E T Q U A L I T Y REC Limited | Investor Presentation | H1 FY 2026-27 20
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05 Shareholders Outlook
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Dividend History 22 82.50% 95.33% 114.75% 126.00% 160.00% 180.00% 185.50% FY20 FY21 FY22 FY23 FY24 FY25 FY26 Dividend payout history (%) ₹3.50 Dividend per share for Q2 FY27, this is in addition to Rs. 4.25 declared for Q1 FY 27 Consistently high dividend- paying company Dividend adjusted for bonus issue in the ratio 1:3 in Aug 2022. Actual dividend was 110.00%, 127.10% and 153.00% (pre -bonus) for FY20, FY21 and FY22. S H A R E H O L D E R S O U T L O O K REC Limited | Investor Presentation | H1 FY 2026-27
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Shareholding and Per-Share Metrics 23 Shareholding pattern Promoter: PFC Limited 52.63% Foreign Institutions 16.78% Non-Institutional 13.98% MFs/AIFs/VCFs/PFs 7.57% Banks/FIs/Insurance Cos 8.99% Govt/Govt PSUs 0.05% Earnings per Share (EPS) ₹57.27 Book Value per Share (BVPS) ₹358.21 S H A R E H O L D E R S O U T L O O K REC Limited | Investor Presentation | H1 FY 2026-27 Annualized for H1 FY 27
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06 ESG at REC
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ESG at REC Limited 25 JAN 2023 REC ESG Policy Formalized ESG implementation by adopting a board-approved ESG policy JUN 2023 ESG Targets Company-wide ESG targets assigned for quarterly compliance APR 2024 ESG Gap Assessment GHG emission assessment across REC; 5 ESG-related policies introduced AUG 2024 ESG Report Published 1st ESG report in GRI format; Submitted CDP & S&P CSA response OCT 2024 REC Net Zero Plan Committed to Net Zero in Scope 1 & 2 emissions by 2035 JAN 2025 Stakeholders ESG Assessment Commenced ESG assessment of private borrowers and suppliers APR 2025 Green Power for Operations 100% green power for REC Corporate Office DEC 2025 Top ESG Ratings in the Country REC has secured “Leadership” score of 80, ahead of top NBFCs/Banks by NSE ESG Ratings APR 2026 ESG Incentivization Incentivization started for ESG-compliant RE borrowers E S G A T R E C REC Limited | Investor Presentation | H1 FY 2026-27
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REC’s Renewable Energy Portfolio 26 27,095 38,971 57,994 75,347 86,660 FY23 (6%) FY24 (8%) FY25 (10%) FY26 (13%) H1 FY27 (14%) Renewable loan book grew >3x in 5 years (₹ crore) Bracketed figures show share in total loan book ₹86,660 crore Renewable loan book as on 30.09.26 Solar (35%) Hybrid (18%) PSP (14%) Wind (13%) Hydro (13%) Others (4%) E-mobility (3%) E S G A T R E C REC Limited | Investor Presentation | H1 FY 2026-27
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REC's ESG Ratings 27 Rating Agency Market Focus Score Performance Level ESG Grading Scale NSE Domestic 79 Leadership 0 -100 || 100 being maximum CRISIL Domestic 73 Leadership Weak (0-40) || Below average (41-50) || Adequate (51- 60) || Strong (61-70) || Leadership (71-100) SES (Stakeholder Empowerment Services) Domestic 80.9 Low Risk 0-60 High Risk · 60-80 Medium Risk · 80-100 Low Risk S&P Global International 39 Above Industry Average Below the industry average || Above Industry Average CDP International B Management Level D-/D, C-/C, B-/B, A-/A Morningstar Sustainalytics International 16 Low Risk Negligible Risk: 0-10 || Low Risk: 10-20 || Medium: 20-30 || High Risk: 30-40 || Severe Risk: 40+ E S G A T R E C REC Limited | Investor Presentation | H1 FY 2026-27
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Contact Information Join us: @reclindia EQUITY SHARE QUERIES complianceofficer@recindia.com INVESTOR RELATIONS / 54EC & OTHER BOND QUERIES investorcell@recl.in ANNUAL REPORT https://recindia.nic.in/annual-reports INVESTOR ANNOUNCEMENTS https://recindia.nic.in/notice FINANCIAL RESULTS https://recindia.nic.in/financial-results ESG REPORT https://recindia.nic.in/sustainability-report RECENT REPORTS RELEVANT TO POWER SECTOR https://www.powermin.gov.in/documents?p age=1 https://recindia.nic.in/
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Disclaimer 29 • This presentation is for information purposes only and does not constitute an offer or recommendation to buy or sell any securities of REC. Any action taken on the basis of the information contained in the presentation is the responsibility of investors, and REC or its directors or employees will not be liable in any manner for the consequences of such actions. • The presentation is prepared based on Standalone financial statements of REC. • The Ind-AS financial results and the additional disclosures may be required to be updated / modified / amended on account of introduction of new standards or their interpretation, new guidelines or circulars from regulatory bodies and/or RBI. • This presentation may contain statements which reflect Management's current views and estimates and could be construed as forward-looking statements. Any forward-looking statements are valid on the date of publication only and can be superseded. The future involves uncertainties and risks that could result in materially different results from the current views being expressed, owing to general economic conditions, currency fluctuations, competitive product and pricing pressures, industrial relations, regulatory developments etc. • Figures are regrouped / reclassified to make them comparable. • 'Analytical data' are best estimates to facilitate understanding of business and NOT meant to reconcile reported figures. I M P O R T A N T N O T I C E REC Limited | Investor Presentation | H1 FY 2026-27
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Thank You https://recindia.nic.in/ | @reclindia