New Delhi: On 12 January 2026, the Indian Renewable Energy Development Agency (IREDA) remained in the spotlight following its strong Q3 FY26 earnings announcement. Chairman and Managing Director Shri Pradip Kumar Das highlighted the company’s sustained growth trajectory and operational efficiency in interviews with Z Business and NDTV Profit.
The following analysis outlines the key financial growth drivers and performance metrics reported during this period.
IREDA reported a significant 37.5% year-on-year increase in net profit for the quarter ended 31 December 2025, reaching 585 crore. This surge was supported by a 26% rise in total income, which stood at 2,140 crore. For the nine-month period (9MFY26), the company’s consolidated profit after tax reached 1,381 crore, reflecting consistent earnings power as the demand for renewable energy financing continues to scale nationally.
The company’s core lending business showed aggressive expansion. The total loan book grew by 28% year-on-year to reach 87,975 crore. A particularly strong indicator of future revenue was the growth in disbursements, which jumped 44% to 24,903 crore in the first nine months of the fiscal year. These figures underscore IREDA’s pivotal role in funding India’s green energy transition, with loan sanctions also rising 29% to 40,100 crore.
A key focus of the management’s discussion was the expansion of Net Interest Margins (NIM), which reached approximately 3.72%. CMD Pradip Kumar Das attributed this to a strategic shift toward lower-cost borrowing. By leveraging 54EC bonds and exploring cheaper overseas funding, the company has successfully reduced its cost of funds. The recent successful Qualified Institutional Placement (QIP) of over 2,000 crore has further bolstered the balance sheet, increasing the company’s net worth by 38% to 13,537 crore.
IREDA has demonstrated a disciplined approach to risk management, showing sequential improvement in its non-performing assets (NPA). Gross NPA figures improved to 3.75% in Q3 FY26, down from 3.97% in the previous quarter. Net NPAs followed a similar downward trend, easing to 1.68%. Management emphasized that while certain accounts like Gensol Engineering required provisioning, the company’s history of minimal actual write-offs—totaling only 135 crore over nearly four decades—remains a testament to its underwriting standards.
Looking ahead, the leadership remains confident in maintaining a 25-30% growth rate in the loan book. The company is actively diversifying its portfolio into emerging segments such as rooftop solar, green hydrogen, and pump storage projects. With the government’s continued push for “Navratna” and eventually “Maharatna” status, IREDA is positioning itself to access even cheaper capital, which is expected to further drive its competitive edge in the clean energy financing sector.