IREDA reports 30% YoY profit Increase of ₹2.95 b in Q1 FY24

Indian Renewable Energy Development Agency (IREDA), a government-owned lender, has announced a profit after tax of ₹2.95  (~$35.54 million) for the first quarter of FY24, marking a 30% YoY growth. The quarter also showcased a substantial reduction in net NPAs to 1.61%, down from 2.92% in the same period last year, reflecting a 45% YoY drop.

IREDA's loan book expanded to ₹472.07  (~$5.69 ) by June 30, 2023, marking a 44% YoY growth from ₹326.79  (~$3.94 ). During Q1 FY24, the company disbursed loans of ₹31.73  (~$382.26 million), representing a 272% YoY increase.

Total income from operations stood at ₹11.43  (~$137.69 million), a 45% rise from ₹7.86  (~$94.69 million) in the same period last year. The company also received interest of ₹384.51 million (~$4.63 million) and repayment of principal of ₹62.93 million (~$758,382) on loans to government-related entities.

IREDA's recent activities include Rewa Ultra Mega Solar’s (RUMSL) loan repayment of ₹16.25 million ($195,767). The lender had previously disclosed its intention for an initial public offering involving a partial government stake sale, with approval granted due to changes in its capital structure from government funding.

IREDA's Infrastructure Finance Company (IFC) status, granted by the Reserve Bank of India, is expected to enhance renewable energy sector financing exposure and access to a broader investor base. The company previously posted a Q4 FY23 profit of ₹2.54  (~$30.59 million), a 12% YoY increase, and Q4 FY23 revenue of ₹10.36  (~$124.81 million), up 38.87% YoY.