IRFC Share Price
Indian Railway Finance Corporation Ltd
IRFC Share Price NSE
IRFC Share Price BSE
General IRFC Fundamentals
| Period | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
| Total Revenue | 26,645.36 | 23,891.83 | 20,299.26 | 15,770.47 |
| Selling/ General/ Admin Expenses Total | 11.17 | 25.40 | 22.10 | 15.83 |
| Depreciation/ Amortization | 9.44 | 14.06 | 14.03 | 4.43 |
| Other Operating Expenses Total | 125.66 | 111.61 | 99.85 | 94.42 |
| Total Operating Expense | 142.34 | 148.39 | 136.64 | 117.64 |
| Operating Income | 26,503.02 | 23,743.44 | 20,162.62 | 15,652.83 |
| Net Income Before Taxes | 6,412.10 | 6,337.01 | 6,090.16 | 4,416.13 |
| Net Income | 6,412.10 | 6,337.01 | 6,089.84 | 4,416.13 |
| Diluted Normalized EPS | 4.91 | 4.85 | 4.66 | 3.66 |
| Period | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
| Total Assets | 4,85,082.43 | 4,91,146.75 | 4,49,980.22 | 3,80,481.52 |
| Total Liabilities | 4,35,903.86 | 4,45,676.43 | 4,08,983.88 | 3,44,568.14 |
| Total Equity | 49,178.57 | 45,470.32 | 40,996.34 | 35,913.38 |
| Tangible Book Valueper Share Common Eq | 37.63 | 34.79 | 31.37 | 27.48 |
| Period | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
| Cashfrom Operating Activities | 7,914.10 | -28,583.83 | -64,412.28 | -89,906.65 |
| Cashfrom Investing Activities | -7.54 | 0.09 | -4.72 | 0.42 |
| Cashfrom Financing Activities | -8,046.42 | 28,643.28 | 64,266.30 | 90,202.04 |
| Net Changein Cash | -139.87 | 59.54 | -150.70 | 295.81 |
About Indian Railway Finance Corporation (IRFC)
Established on December 12, 1986, the Indian Railway Finance Corporation (IRFC) plays a pivotal role in securing funds for the Indian Railways from both domestic and international capital markets. As a Schedule ‘A’ public sector enterprise under the Ministry of Railways, IRFC stands as a cornerstone of India’s rail infrastructure financing.
Registered with the Reserve Bank of India (RBI) as a Systemically Important Non-Deposit taking Non-Banking Financial Company (NBFC-ND-SI) and an Infrastructure Finance Company (NBFC-IFC), IRFC operates with a mandate to support rail sector development.
Core Services That Define IRFC’s Role
1. Project Financing
– Provides loans for rail infrastructure projects, enabling seamless execution of railway expansion plans.
2. Lease Financing
– Offers leasing solutions for rolling stock and other railway assets, allowing Indian Railways to upgrade operations without large upfront costs.
3. Corporate Loans
– Supplies working capital and operational loans to Indian Railways, ensuring consistent liquidity for critical projects.
Key Strengths That Set IRFC Apart
Strong Government Backing
– IRFC benefits from unwavering support from the Government of India, ensuring operational stability and public trust.
High Asset Quality
– Sustained by regular revenue from Indian Railways, the company maintains low financial risk and robust asset management.
Diversified Financing Options
– IRFC caters to a wide range of railway financing needs through an array of tailored products and services.
Challenges on the Horizon
Dependence on Indian Railways
– IRFC’s performance is closely tied to the financial health of Indian Railways, posing systemic risks.
Interest Rate Sensitivity
– Fluctuating interest rates can increase borrowing costs, potentially affecting profitability.
Competitive Landscape
In the financial services sector, IRFC navigates a competitive environment alongside leading institutions such as:
State Bank of India (SBI)
– A premier public sector bank with extensive experience in infrastructure financing, including rail projects.
Bank of Baroda
– Offers a diverse range of banking products and actively supports public sector undertakings.
–Punjab National Bank (PNB)
– One of India’s largest banks, providing tailored financial solutions for infrastructure development.
A Strategic Pillar for India’s Railways
IRFC serves as the financial backbone of Indian Railways, underlining its critical role in advancing the nation’s rail infrastructure. While it enjoys significant strengths, challenges like dependency and market volatility underscore the complexities of its operations. IRFC’s enduring commitment to rail development highlights its importance in India’s growth story.
FAQ about IRFC Share
What is IRFC, and why is its stock significant?
The Indian Railway Finance Corporation (IRFC) is a public sector enterprise under the Ministry of Railways. It provides funding for rail infrastructure and operations, making it a critical part of India’s rail development. IRFC’s stock is significant because it represents a stable investment opportunity, backed by the Indian government’s support and consistent revenues from Indian Railways.
Is IRFC stock a good investment?
IRFC stock can be a good investment for risk-averse investors seeking steady returns. It benefits from strong government backing, a monopoly in railway financing, and consistent revenue generation. However, investors should consider risks like dependence on Indian Railways and interest rate fluctuations.
What is the dividend policy of IRFC?
IRFC has a track record of paying dividends, supported by its stable income streams. Its dividend yield is often attractive for long-term investors. Specific rates may vary yearly, so checking the latest announcements is advisable.
What are the risks associated with investing in IRFC stock?
Key risks include:
Dependence on Indian Railways: IRFC’s financial performance is tied to Indian Railways’ operations.
Interest Rate Volatility: Changes in interest rates can increase borrowing costs and impact profitability.
Limited Diversification: As a specialized financial institution, it focuses solely on railway financing.
How does IRFC generate revenue?
IRFC generates revenue primarily by leasing rolling stock (locomotives, wagons, coaches) and funding railway infrastructure projects. Its income comes from interest and lease payments made by Indian Railways.
What factors influence IRFC’s stock price?
IRFC’s stock price is influenced by:
Government policies on infrastructure and rail development.
Financial health and operational performance of Indian Railways.
Changes in interest rates and borrowing costs.
Broader market sentiment toward public sector enterprises.
What is the future growth potential of IRFC stock?
IRFC has strong growth potential, driven by:
Expanding railway projects: India’s commitment to modernizing and expanding its rail network.
Rising infrastructure investment: Increased government focus on infrastructure development.
Monopoly status: IRFC’s exclusive role in financing Indian Railways gives it a competitive edge.
How can I buy IRFC stock?
You can buy IRFC stock through stockbrokers or online trading platforms listed on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) in India. Ensure you have a demat account and sufficient funds for the purchase.
What is the current market price of IRFC stock?
The market price of IRFC stock fluctuates daily based on demand, supply, and market trends. The current price is 149.34.
How does IRFC compare to other public sector stocks?
IRFC is distinct due to its monopoly in railway financing and stable revenue streams, making it less volatile than other public sector stocks. While it may lack high growth potential compared to industrial or banking stocks, it offers steady returns and low risk.