REC shares zoom over 7% on robust earnings

New Delhi: Shares of REC Ltd on Thursday zoomed more than 7 per cent in the late morning trade on the bourses, a day after the state-owned company posted a 21 per cent rise in its net profit to Rs 2,968.05 crore in the June quarter.

The stock of REC jumped 7.38 per cent to Rs 186.25 apiece on the BSE.

A similar movement was also seen on the NSE, where the scrip climbed 7.29 per cent to Rs 186.20 per share.

Meanwhile, the 30-share BSE Sensex was trading 24.17 points or 0.04 per cent higher at 66,731.37 points.

State-owned REC, on Wednesday, posted a 21 per cent rise in consolidated net profit at Rs 2,968.05 crore in the June quarter, primarily on the back of higher revenues.

In the year-ago period, the profit stood at Rs 2,454.16 crore, the company said in its filing to the BSE.

REC's total income in the first quarter of the current fiscal rose to Rs 11,091.77 crore, up from Rs 9,506.06 crore in the same period a year ago.

The REC board approved an interim dividend of Rs 3 per equity share of Rs 10 each for 2023-24.

The board also approved a proposal to increase the overall borrowing limit of the company from Rs 4,50,000 crore to Rs 6,00,000 crore and in any foreign currency equivalent to USD 16 billion to USD 20 billion.