>REC (INDIA INFOLINE)

■ Loan assets were up 30% yoy; exposure towards private sector entities has increased to 6.5%.

■ Sanctions grew at a modest 11% yoy rate; disbursements, however, remained healthy at 23% yoy.

■ Margins improved on account of lower cost of funds. Higher pricing power and increasing private sector exposure would enable maintain margins at current levels.

■ Net interest income was up 48% yoy, net profit too reported a sturdy 45% yoy growth.

■ Infra-financing nomenclature to enable increase exposure limits. Maintain BUY.

To read the full report: REC