On Monday, a multibagger navaratna stock soared by 3 percent after receiving a formal letter of intent towards the appointment of a project management consultant. The stock has delivered a multibagger return of 127 percent in one year.
With a market capitalization of Rs 18,815.64 crore, the shares of Rites Ltd started trading session at a higher note of Rs 773.55 per share, with a 3 percent increase from its previous close of Rs 760.00 per share to an intraday high of Rs 788.40 per share.
According to the company exchange filing, Rites Ltd. received a formal letter of intent for the appointment of a project management consultant for the infrastructure development of a permanent campus at IIT Bhubaneswar in Odisha.
On a yearly basis, revenue from operations of the company has increased by 0.88 percent from Rs 677 crore in Q3 FY23 to Rs 683 crore in Q3 FY24, and in the same period, net profits decreased by 12 percent from Rs 147 crore to Rs 129 crore.
Sequentially, on a quarterly basis, revenue from operations increased by 17 percent, from Rs 582 crore in Q2 FY24 to Rs 683 crore in Q3 FY24, and in the same period, net profits increased by 17 percent, from Rs 110 crore to Rs 129 crore.
As per the recent investor presentation, the company has a total order book of Rs 5,496 crore, with Rs 2,613 crore coming from consultancy, followed by Rs 2,292 crore from turnkey, Rs 294 crore from exports, Rs 177 crore from leasing, and Rs 120 crore from REMC Ltd.
In Q3 FY24, the company delivered segment wise revenue of Rs 302 crore from consultancy, Rs 37 crore from leasing, Rs 58 crore from exports, Rs 256 crore from turnkey, and Rs 25 crore from other income.
The shareholder pattern of the company shows that 72.20 percent is held by the promoters, followed by 11.18 percent by the public, 12.63 percent by domestic institutional investors (DII), and 3.98 percent by foreign institutional investors (FII).
Rites Ltd. is an Indian-based company established in 1974, providing services such as concept to commissioning in all aspects of transport infrastructure and related technologies. It is the only export arm of Indian Railways that provides rolling stock internationally, with a global presence in 55 countries across Asia, Africa, Latin America, South America, and the Middle East.
Written By Praveen R
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