January 1, 2025
Indian Renewable Energy Development Agency (IREDA) shares surged nearly 6% to ₹227.70 on the BSE in early trade today, following the release of its provisional business updates for 2024. The public sector company’s strong financial performance highlights its pivotal role in supporting India’s renewable energy goals.
Impressive Financial Growth
IREDA reported a significant 36% year-on-year growth in its outstanding loan book, which reached ₹69,000 crore by December 31, 2024, compared to ₹50,580 crore at the same time last year.
The company sanctioned loans worth ₹31,087 crore during the year, registering an exceptional 129% growth from ₹13,558 crore in 2023. Loan disbursements also saw robust growth, standing at ₹17,236 crore, a 41% increase over ₹12,220 crore disbursed in the previous year.
Stock Market Impact
IREDA’s remarkable business performance pushed its stock price up by 5.83% in early trading, reflecting investor confidence. While the stock has faced some correction due to broader market pressures, it has delivered 105% returns in 2024, cementing its status as a multibagger.
A Key Player in Renewable Energy Financing
Established in 1987, IREDA is a Navratna company under the Ministry of New and Renewable Energy (MNRE). The organization specializes in financing renewable energy and energy efficiency projects, aligning with India’s sustainability objectives.
Future Outlook
IREDA’s stellar growth in loan sanctions and disbursements signals strong demand in the renewable energy sector. As India continues its transition towards a greener economy, IREDA remains a cornerstone in providing financial support for clean energy initiatives.
Investors and industry stakeholders view IREDA as a long-term growth prospect, given its consistent performance and critical role in shaping the renewable energy landscape in India.
