The Power Finance Corporation (PFC) has reported a rise in its revenue in the third quarter (Q3) of the financial year 2021 (FY 2021) with ₹184.42 billion (~$2.5 billion), up 16% from ₹158.78 billion (~$2.18 billion) in the same quarter last year.

In the first nine months (9M) of FY 2021, the company’s total revenue rose 16.3% to ₹535.45 billion (~$7.35 billion) from ₹460.2 billion (~$6.3 billion) in the same period a year prior.

Its net profit rose 17% to ₹39.63 billion (~$544.29 million) in Q3 FY 2021 from ₹33.86 billion (~$465 million) in the same quarter of FY 2020. During 9M 2021, net profit rose to ₹118.1 billion (~$1.62 billion) from ₹87.83 billion (~$1.2 billion) Q3 FY 2020.

At the end of the quarter, the company’s earnings per share (EPS) stood at ₹10.96 (~$0.150), also up from ₹9.84 (~$0.135). At the end of 9M FY 2021, EPS stood at ₹33.43 (~$0.459), up from ₹25.2 (~$0.346) in the 9M FY 2020.

In May 2020, Finance Minister Nirmala Sitaraman announced that power distribution companies (DISCOMs) would receive ₹900 billion (~$12.03 billion) as part of India’s stimulus package to help the Indian economy recover from the coronavirus crisis. In August, PFC said it had approved ₹306.07 billion (~$4.09 billion) as of July 31, 2020, under this package.

PFC said that it had approved loans worth ₹590.7 billion (~$8.1 billion) as part of the government of India’s liquidity package aimed at supporting struggling DISCOMs in the country. Together, PFC and REC Limited have approved loans of ₹1249.99 billion ($17.14 billion) as of January 31, 2021, to distribution companies.

Of the ₹3,650.31 ($50.05) provided in loans as of December 31, 2020, ₹386.81 billion ($5.3 billion), accounting for 11%, has been offered for renewable energy generation companies, including large hydro. Major borrowers among renewable energy companies include Azure Power, Ostro Kannada Power, Adani Wind Energy, Adani Green, and ACME Aklera Power.

PFC loans to the renewable energy sector have consistently grown year-over-year with a compound annual growth rate (CAGR) of 44% since 2015-16.

It said that after the lockdown, power demand and economic activity have also increased. This has led to higher power demand from the commercial and industrial sector, which was previously down due to the Coronavirus pandemic.

The company also added that it had not experienced any significant impact on its liquidity position due to its access to diversified borrowing sources. It noted that it was well equipped to meet its future funding needs. It does not anticipate any significant impacts from the pandemic on its business operations and financial position.

Recently, Mumbai-based power transmission company Sterlite Power secured the financial closure for its Vapi II North Lakhimpur Transmission Limited (VNLTL). Sterlite said that the total debt funding of ₹20.7 billion (~$281 million) came from PFC Limited.