REC Q1 net profit up over 11% at Rs 1,282.79 crore

State-owned Rural Electrification Corporation today reported over 11 per cent jump in net profit at Rs 1,282.79 crore for the quarter ended June 30, 2014.
The company had posted a net profit of Rs 1,153.66 crore in the same period, last fiscal.
Total income from operations of the company rose to Rs 4,667.13 crore from Rs 3,988.45 crore, REC said in a regulatory filing to the stock exchange.
REC will issue debentures of up to Rs 30,000 crore during the current financial year.
The Board of Directors of the company approved issuance of Non-Convertible Debentures up to Rs 30,000 crore through private placement during the current fiscal (2014-15).

The funds raised through the bond issue are meant for general lending operations of the company and other associated business objectives besides repaying existing loans.

The company had issued tax free bonds worth Rs 2,648.41 crore in financial year 2012-13.
REC's main objective is to finance and promote rural electrification projects all over the country. It provides financial assistance to State Electricity Boards, State Government Departments and Rural Electric Cooperatives for rural electrification projects.
Shares of the company closed at Rs 299.15, up 2.12 per cent on the BSE.