Synopsis:
The company has received a work order worth Rs. 36 crores from Damodar Valley Corporation for the AMC and O&M at DVC Mejia Thermal Power Station.
The shares of a government-owned transport consultancy and engineering firm drew attention following the receipt of a work order from the Damodar Valley Corporation.
With the market capitalization of Rs.12,161.68 crores, the shares of RITES Limited are trading at Rs.253.90, up by 0.46 percent from its previous day’s closing price of Rs.251.75 per equity share.
Work Order
RITES Limited has secured a new contract worth Rs. 36 crores from the Damodar Valley Corporation. The contract is for the annual maintenance, O&M of Signaling and Telecommunication and the operation of 25KV electrical systems at the DVC Mejia Thermal Power Station. The work is expected to be completed within 730 days from the commencement of work.
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About the company
RITES Limited is a Public Sector Enterprise under the Ministry of Railways, a leading engineering and consultancy company offering end-to-end solutions in the transport and infrastructure sectors in India and abroad. Its services cover railways, highways, airports, ports, ropeways, urban transport, inland waterways, and renewable energy.
As of June 30, 2025, the company’s total order book stands at Rs. 8,790 crore. Turnkey projects make up the largest portion at Rs.4,209 crore, followed by Consultancy at Rs.2,903 crore and Exports at Rs.1,388 crore, with the remaining Rs.170 crore from Lease and Rs.120 crore from REMCL Limited projects.
Around 53 percent of the orders were secured through competitive bidding, while 47 percent came through nomination. In the first quarter of FY26, the company won new projects and extensions worth Rs. 451 crore, with the majority from Consultancy projects (Rs. 367 crore), and smaller contributions from Exports (Rs. 31 crore), Lease (Rs. 35 crore), and Turnkey projects (Rs. 18 crore).
The company’s revenue increased slightly from Rs. 486 crore in Q1FY25 to Rs. 490 crore in Q1FY26, while net profit slightly increased from Rs.90 crore to Rs.91 crore over the same period. Its return on equity stands at 14 percent, and return on capital employed at 21 percent. The stock has a price-to-earnings ratio of 31.52, above the industry average of 21.12.
Written by Jhanavi Sivakumar
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