The shares of leading telecom service providers to railway gained up to 6 percent after the company received a new work order from the National Informatics Center Service Incorporated worth Rs 81.45 crore.
RailTel Corporation of India Ltd has a market capitalization of Rs 12,444.39 crore, the shares were trading in positive at Rs 388.35 per share, increasing around 2.11 percent as compared to the previous closing price of Rs 378.70 apiece.
The shares of the company have seen drastic change after RailTel Corporation of India Ltd received a new work order from National Informatics Center Service Incorporated worth Rs 81.45 crore for the supply, installation, configuration, commissioning, and integration of ICT infrastructure, operation & maintenance of the ICT infrastructure in compliance with the SLA.
Examining the company’s financial performance, revenue surged by 19 percent from Rs 697 crore in Q4FY23 to Rs 833 crore in Q4FY24, during the same time frame, net profit has increased slightly by 4 percent from Rs 75 crore to Rs 78 crore.
The shares have given a return of 32.61 percent in six months and a multi-bagger return of 196.99 percent in a year. If an investor invested Rs 1 lakh a year ago, it would now be worth Rs 2.96 lakh.
The company has a robust order book of over Rs 4,700 crore as of March 31, 2024, with an expected order inflow of Rs 4,000-5000 crore in FY25, driven by upcoming tender from the Indian railways, state governments, and other sectors. The potential KAVACH project orders, estimated to be in the range of Rs 5,000 crore to Rs 7,000 crore, will further bolster the order book.
RailTel Corporation of India Limited is a neutral telecom infrastructure provider established in India. It owns a Pan-India optic fiber network on a railway track’s right of way (ROW). Telecom Services and Project Work Services are two of the company’s business segments.
Written by:- Abhishek Singh
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