IRFC Q2 profit up 10% YoY to ₹1,777 crore; revenue dips 8%, declares ₹1.05 dividend per share

Indian Railway Finance Corporation (IRFC) reported a 10% year-on-year increase in profit after tax (PAT) to ₹1,777 crore for Q2 FY26, driven by steady interest income and efficient cost management. However, total revenue declined 8% YoY, reflecting moderation in lease income due to timing differences in asset additions. The company’s board declared an interim dividend of ₹1.05 per share, underscoring its commitment to consistent shareholder returns. On the fundamentals side, IRFC continues to maintain strong financial stability with a capital adequacy ratio above 25%, low credit risk, and AAA credit ratings from major agencies. The company’s loan book remains robust, driven by its strategic role in financing railway infrastructure and rolling stock for Indian Railways. The stock traded around ₹180, up 1% intraday, with a market capitalization of nearly ₹2.3 lakh crore. With stable margins, sovereign backing, and a predictable income model, IRFC remains a key beneficiary of India’s ongoing railway modernization and infrastructure expansion plans.