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IREDA Shares Surge 4% Following Impressive Q3 Profit and Revenue Growth
Shares of the Indian Renewable Energy Development Agency (IREDA) experienced a notable increase, jumping 4% to an intraday high of Rs 142.30 on the BSE on January 12. This surge followed the company’s robust financial performance for the third quarter ending December 31, 2025. Highlights include:
– A 15.4% year-on-year (YoY) increase in consolidated net profit, reaching Rs 1,381.36 crore.
– A remarkable 28.2% YoY rise in revenue from operations, totaling Rs 6,041.82 crore, compared to Rs 4,714.25 crore in the same quarter last year.
For the nine-month period concluding December 31, 2025, IREDA demonstrated significant growth:
– 27% YoY increase in revenue, amounting to Rs 6,135 crore, up from Rs 4,838 crore the previous year.
– Profit before tax (PBT) rose to Rs 1,718 crore, a 17% increase compared to Rs 1,474 crore last year.
– Profit after tax (PAT) increased by 15% YoY, now at Rs 1,381 crore versus Rs 1,197 crore in the previous nine months.
Growth in Core Lending Business
IREDA’s core lending business also showcased substantial growth:
– Loan sanctions surged 29% YoY to Rs 40,100 crore for the nine months, compared to Rs 31,087 crore in the previous year.
– Loan disbursements skyrocketed by 44% YoY to Rs 24,903 crore, rising from Rs 17,236 crore a year earlier.
As of December 31, 2025, the company’s total borrowings reached Rs 73,172 crore:
– Rs 63,393 crore (87%) was sourced from domestic lenders.
– Rs 9,779 crore (13%) was raised through foreign borrowings.
– IREDA raised Rs 32,397 crore in borrowings during Q3 FY26 alone, according to its financial reports.
Diverse Exposure Across Clean Energy
A sector-wise breakdown of IREDA’s loan book reveals a diversified strategy within the clean energy ecosystem:
– Solar Thermal / SPV: 25%
– State Utilities (Others): 20%
– Wind Energy: 12%
– Hydro Power: 9%
– Ethanol Projects: 8%
– RE-related Manufacturing: 7%
– GENCO-related State Utility Loans: 5%
– Hybrid Wind & Solar Projects: 4%
In conclusion, IREDA’s impressive financial performance, marked by a 15% YoY growth in PAT and a 28% surge in revenue, has propelled its share price upward, solidifying its standing in the renewable energy sector. Investors are keenly watching IREDA’s developments as the transition to clean energy accelerates, underscoring the company’s commitment to sustainable development.