This Navratna PSU company provides nationwide broadband, telecom, and multimedia network services, playing a key role in India’s digital and communication infrastructure, jumped 4 percent after securing multiple orders worth Rs. 76 crore from Indian Railways.
Stock Price Movement:
With a market capitalization of Rs. 9,531.87 crores, the share of Railtel Corporation of India Limited has reached an intraday high of Rs. 309.10 per equity share, rising nearly around 3.53 percent from its previous day’s close price of Rs. 298.55. Since then, the stock has retreated and is currently trading at Rs. 297 per equity share.
What Happened:
RailTel Corporation of India Limited has secured two significant orders worth a total of Rs. 75.79 crore from Indian Railways. The first order is valued at Rs. 47.5 crore and is from East Central Railway for the design, manufacturing, supply, installation, testing, and commissioning of an electronic interlocking system in the Dhanbad Division, scheduled for completion by March 6, 2026.
The second order is valued at Rs. 28.29 crore and is from Northern Railway for indoor and outdoor double distant signaling work, set to be completed by September 6, 2026. These contracts highlight RailTel’s growing role in strengthening railway infrastructure, signaling, and communication systems across India.
Segment Analysis:
RailTel has two main business segments, such as telecom and projects. In FY24, telecom contributed 49 percent of the company’s revenue, with national long-distance services (23 percent), internet services (17 percent), and infrastructure services (9 percent). The projects segment accounted for 50 percent of the total revenue and is expected to grow further.
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Order Book:
As of January 2025, RailTel Corporation of India Limited had an order book of Rs. 5,280 crore, indicating a robust project pipeline. This ensures steady revenue growth in the coming years, strengthening the company’s position in the railway and telecom infrastructure sectors.
Recent quarter results:
RailTel Corporation of India Limited’s revenue grew by 14.97 percent, increasing from Rs.668 crore in Q3 FY24 to Rs.768 crore in Q3 FY25. The company also saw a 4.83 percent rise in net profit, from Rs.62 crore in Q3 FY24 to Rs.65 crore in Q3 FY25, reflecting strong financial performance and business growth.
Written By – Nikhil Naik
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