Power Finance Corporation's stock closed 1.71% higher at ₹427.10 in the previous trading session, reflecting strong investor confidence ahead of the ex-dividend date. The stock is a constituent of the Nifty Next 50 index, with the company's market capitalization standing at ₹1,40,947.35 crore, reinforcing its position as a key player in the Indian finance sector. The positive movement indicates market optimism about the company's strong operational and financial health.
The company has announced a Final Dividend of ₹3.95 per share (39.5%) with an ex-date set for tomorrow, July 31, 2026. Investors must ensure their shares are in their demat account by the end of today's trading session to be eligible for this dividend. The dividend yield on the previous close stands at 0.92%, reflecting the company's consistent dividend policy and commitment to shareholder returns. This dividend follows previous distributions including an Interim Dividend of ₹3.25 per share (32.5%) announced on March 17, 2026, and a Third Interim Dividend of ₹4.00 per share (40%) on February 5, 2026.
According to latest reports, Power Finance Corporation has demonstrated robust financial results for the financial year ending March 2026. Net profit rose 10.19% to ₹33,625.36 crore in March 2026 from ₹30,514.65 crore in March 2025, while revenue increased 8.40% to ₹1,15,443.61 crore from ₹1,06,501.62 crore in the preceding fiscal year. The Earnings Per Share (EPS) improved to ₹78.49 for FY26, up from ₹69.67 in FY25, representing a 12.65% increase. The company's Return on Equity (ROE) remained strong at 19.49% for March 2026, indicating efficient utilization of shareholder funds.
The company has actively managed its financial leverage, with the Debt to Equity ratio improving to 7.62 in March 2026 from 8.25 in March 2025, showcasing prudent financial management. This ratio decrease reflects a stronger balance sheet and reduced reliance on borrowed capital. The company has also demonstrated its commitment to shareholders through bonus issues including a 1:4 ratio bonus in 2023 and a 1:1 ratio bonus in 2016. The consistent dividend policy, coupled with robust financial growth, underscores the company's stable operational foundation and commitment to long-term shareholder value creation.
The company recently held a board meeting on July 23, 2026, to consider and approve a proposal to seek shareholder approval for enhancing its borrowing limit from both domestic and international markets, in compliance with sections 180(1)(a) and 180(1)(c) of the Companies Act 2013. This action was preceded by an intimation on July 17, 2026, detailing the upcoming board discussion. Furthermore, on July 13, 2026, Power Finance Corporation announced the incorporation of Satara Power Transmission Limited, a wholly-owned subsidiary of PFC Consulting Limited, marking a strategic expansion as reported by Moneycontrol.
