IREDA Sets New Records in Loan Sanction, Disbursement, and Profit for FY 2022-23
Indian Renewable Energy Development Agency Ltd. (IREDA) achieved remarkable milestones in the financial year 2022-23, as revealed during the company’s 36th Annual General Meeting (AGM) held on June 30th, 2023. The AGM, which took place at India Habitat Centre in New Delhi, saw the adoption of the annual accounts that showcased IREDA’s outstanding performance.
IREDA’s Chairman & Managing Director (CMD), Shri Pradip Kumar Das, addressed the shareholders and provided an overview of the company’s accomplishments during the year. He stated, IREDA has accomplished its highest-ever annual loan sanction, loan disbursement, loan book, profit, and net worth.
The CMD shared the following key highlights of IREDA’s performance in FY 23:
– Loan Sanction: IREDA achieved a record loan sanction of ₹32,586.60 crore, marking a significant increase of 36.23% compared to the previous financial year.
– Loan Disbursement: The company disbursed loans amounting to ₹21,639.21 crore, reflecting a growth of 34.65% compared to FY 22.
– Loan Book: IREDA’s loan book reached ₹47,076 crore, demonstrating a substantial growth of 38.75% compared to the previous year.
– Profit: IREDA recorded a Profit Before Tax of ₹1,139.25 crore and a Profit After Tax of ₹864.63 crore, indicating a remarkable increase of 36.63% and 36.48% respectively compared to FY 22.
– Net Worth: The company’s net worth reached ₹5,935.17 crore, displaying a growth of 12.66% compared to the previous year.
IREDA’s commitment to maintaining strong asset quality was emphasized by the CMD. He highlighted the implementation of a structured recovery and monitoring mechanism, which included monthly internal status reviews and quarterly interactions with borrowers. As a result, IREDA successfully closed or upgraded 18 non-performing project loan accounts, leading to the recovery of loans worth ₹202.43 crore. These efforts contributed to a healthy improvement in the company’s non-performing assets (NPA) ratios:
– Gross NPA: IREDA achieved a significant decrease in gross NPA, with the ratio dropping to 3.21% from 5.21% in FY 22.
– Net NPA: The net NPA ratio showed substantial improvement, decreasing to 1.66% from 3.12% in FY 22.
IREDA’s commitment to green energy development extends beyond its financial achievements. The company actively engages in partnerships with green energy developers to address their evolving requirements for financial products. It aims to raise awareness of new products and has already launched financing solutions for emerging areas such as E-mobility, Green Hydrogen, and Green Transmission.
The CMD highlighted IREDA’s dedication to upholding the highest standards of corporate governance, transparency, and business ethics. In FY 23, IREDA accomplished a significant milestone by becoming the first Central Public Sector Enterprise to publish its Annual Audited results within 25 days after the end of the financial year. This achievement is particularly noteworthy, considering that SEBI allows a period of 60 days for such disclosures.
IREDA’s efficient internal processes, digitized data management, and adherence to good governance principles and practices also set a remarkable precedent by holding its AGM within 90 days after the conclusion of the financial year.
IREDA, a Mini Ratna (Category – I) Government of India enterprise under the administrative control of the Ministry of New and Renewable Energy, continues to play a crucial role in promoting renewable energy development in the country. With its impressive financial performance in FY 2022-23 and its commitment to sustainable growth, IREDA is positioned as a key player in India’s renewable energy sector.
