The shares of one of the leading neutral telecom infrastructure providers rose up to 11 percent after receiving a work order for the supply and implementation of integrated infrastructure worth Rs. 162.73 crore and announcing strong third-quarter results.
With a market capitalization of Rs 13,286.85 crore, the shares of Railtel Corporation of India Ltd were trading at Rs 418.55 per share, increasing around 5.53 percent as compared to the previous closing Rs 396.60 apiece.
According to the exchange filing, Railtel Corporation of India Ltd received the work order from Navodaya Vidyalaya Samiti for the supply and implementation of integrated infrastructure and IT solutions under PM SHRI Scheme in JNVs Schools equivalent to Rs. 162.73 crore.
Looking into the company’s Performance, Railtel Corporation of India Ltd’s revenue increased by 11 percent on a quarter-on-quarter basis from Rs. 599 crores in Q2FY24 to Rs. 668 crores in Q3 FY24. Further, revenue increased by 47 percent year on year from Rs. 454 crores in Q3FY23 to Rs.668 crores in Q3FY24.
Railtel Corporation of India Ltd’s net profit decreased by 9 percent on a quarter-on-quarter basis from Rs.68 crores in Q2FY24 to Rs. 62 crores in Q3FY24. Further, net profit increased by 93 percent year on year from Rs. 32 crores in Q3FY23 to Rs.62 crores in Q3FY24.
RailTel invests in physical assets such as OFC, buildings, technology, and equipment via capital expenditures. Capital expenditures of around 157.67 crore are expected for FY 2023-2024.
RailTel intends to collaborate on the establishment of a 30-megawatt data center in Noida. The DC partner might invest around Rs.1500 crore.
The company has the potential to earn Rs.150 crore by hosting and deploying NIC’s e-office for Central and State government ministries and departments. It serves around 2.5 lakh individuals across 80 plus customers.
The stock gained 152.18 percent in six months and 238.54 percent in a year. Investing Rs 1 lakh in the organization produces Rs 3.38 lakh per year.
RailTel is working to improve the Indian Railways’ train control, operation, and safety systems by developing statewide broadband and VPN services, as well as a telecom and multimedia network.
Written by:- Abhishek Singh
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
