IRFC has successfully achieved its annual sanction guidance of ₹60,000 crores within nine months while making significant progress on its disbursement targets. The railway financing company has distributed 75% of its ₹30,000 crore disbursement goal and remains on track to meet the full target, demonstrating strong operational performance across multiple financial metrics.

Sanction Achievement Milestone

The achievement of the annual sanction guidance within nine months highlights IRFC's robust operational capabilities and efficient execution of its lending activities. The company's ability to reach this target ahead of schedule indicates strong demand for railway infrastructure financing and effective management of its loan portfolio.

Disbursement Progress

The company has made substantial progress on its disbursement activities, having already distributed 75% of its ₹30,000 crore disbursement target. This achievement demonstrates IRFC's effective fund deployment capabilities and its commitment to supporting railway infrastructure development through timely financial assistance.

Operational Excellence

The dual achievement in both sanctions and disbursements reflects IRFC's strong position in the railway financing sector and its ability to effectively serve the infrastructure development needs of Indian Railways. The company's performance demonstrates operational efficiency in both processing loan sanctions and executing timely disbursements.

This comprehensive performance across sanction and disbursement metrics positions IRFC favorably for continued growth and reinforces its role as a key financial partner in India's railway infrastructure development initiatives.

Indian Railway Finance Corporation (IRFC) has delivered exceptional third quarter results, achieving its full-year sanctions guidance of ₹60,000 crore within just nine months of the financial year. The state-run railway financing corporation announced these milestone achievements alongside record-breaking quarterly financial performance, posting its highest-ever quarterly profit for the third consecutive quarter.

Record Financial Performance

The company reported its highest-ever quarterly net profit of ₹1,802 crore for the December quarter, representing a robust 11% year-on-year growth. Total income stood at ₹6,719 crore for the quarter, while revenue moderated by 1.5% to ₹6,661 crore from ₹6,763 crore in the corresponding period last year. Net interest margins improved by over 8% year-on-year during the quarter, aided by value-accretive disbursements across diversified segments and disciplined liability management.

Nine-Month Performance and Business Milestones

For the nine months ended December, profit after tax rose to ₹5,325 crore, up from ₹4,820 crore in the same period last year, reflecting a 10% growth. Income for the nine-month period came in at ₹20,009 crore. IRFC's achievement of its full-year sanctions guidance of ₹60,000 crore within nine months demonstrates strong business momentum and operational efficiency.

Strategic Transactions and Funding Initiatives

IRFC refinanced ₹9,821 crore of DFCCIL's World Bank loan, replacing foreign currency exposure with rupee financing. The transaction generated meaningful savings, reduced risk for the railway project, and created a scalable refinancing template for other rail and rail-linked infrastructure assets. During the quarter, IRFC strengthened its funding profile by securing a $300 million external commercial borrowing from Sumitomo Mitsui Banking Corporation, marking its first international commercial borrowing after a multi-year pause.

Revenue Impact and Future Outlook

The marginal decline in revenue was attributed to a one-year extension of a moratorium granted by the Ministry of Railways for a project lease agreement, which impacted revenue recognition during the period. Despite this temporary impact, the company maintained its zero NPA status and achieved record assets under management of ₹4.75 lakh crore, driven by diversification initiatives under IRFC 2.0.

Looking ahead, the company expects higher-margin diversified lending and fresh project agreements with Indian Railways, following the completion of the moratorium period, to support growth from the next financial year. IRFC is exploring opportunities in co-financing, refinancing of rail-linked projects, and selective expansion into areas such as metro rail, renewable energy, logistics, and ports.