Government PSU company REC Limited is set to offer its investors a dividend gift before Diwali. The company's board will consider the September 2025 quarter results on October 17. With a 29% year-on-year profit growth in the first quarter, investors are likely to receive a substantial dividend.
REC Q2 Results 2025: REC Limited, a leading Indian PSU company, is prepared to present a dividend gift to its investors before Diwali. The company informed the exchange that its board will consider and approve the unaudited results for the September quarter and half-year on October 17, 2025. In the first quarter of fiscal year 2025-26, the company's consolidated profit grew by 29% to ₹4,465.71 crore, and June quarter revenue increased by 12.6% to ₹14,731.45 crore. Following board approval, investors are likely to receive a significant dividend before Diwali.
Board Meeting and Quarterly Results
The company has informed the exchange that its board will convene a meeting on Friday, October 17, 2025. During this meeting, the unaudited results for the quarter and half-year ended September 30, 2025, will be considered and approved.
This meeting is considered crucial for investors, as the company may also announce its second-quarter results and a potential interim dividend. Investors are eagerly awaiting this meeting.
Hint of Dividend for Investors
REC Limited has indicated that it will consider a second interim dividend for the financial year 2025-26. If the board approves this proposal, investors will receive significant benefits in the form of a dividend before Diwali. The company may also announce the dividend amount and record date.
In the first quarter, the company reported a 29 percent year-on-year increase in its consolidated profit, reaching ₹4,465.71 crore. During the same period, the company's revenue also grew by 12.6 percent year-on-year, touching ₹14,731.45 crore. This indicates an improvement in the company's financial health.
Company's Financial Performance
Although an improvement in the company's financial performance has been observed, REC's share price in the market has been under pressure for some time. In the last year, the company's shares have fallen by approximately 31 percent.
This year, REC's shares have shown a weak performance, dropping by about 27 percent year-on-year. On December 10, 2024, the share touched a 52-week high of ₹573. Meanwhile, on August 29 this year, it fell to its 52-week low of ₹348.65.
Before the board meeting on October 17, REC's share was trading down by 1.22 percent at ₹372.90. This decline reflects investor caution in the market and the persistent weakness in the share price since last year.
Impact of Quarterly Results on Investors
Despite an improvement in REC's financial position and an increase in profits, its impact on the stock market has been mixed. Investors' eyes are on the board meeting. If the board announces a dividend, it could have a positive impact on the share price.
According to experts, dividend announcements by government companies often attract investors. REC's move is also considered significant in attracting investors.
Importance of Dividend
Dividends received by investors in government companies are a source of stable income for them. REC's dividend gift before Diwali could prove to be particularly good news for investors. This could boost investor enthusiasm and create activity in the stock market.
The first-quarter results and revenue growth presented by the company indicate that REC's financial performance remains b. The second-quarter results and the board meeting will provide investors with an estimate of the future direction.