The shares of this neutral telecom infrastructure provider gained up to 2.3 percent after the company received an order for a supply of teaching-learning material for class IV to V worth Rs 39.88 crore.
With a market capitalization of Rs 11,335.54 crore, the shares of RailTel Corporation of India Ltd were trading at Rs 353.90 per share, increasing around 1.97 percent as compared to the previous closing price of Rs 347.05 apiece.
According to the company filing, RailTel Corporation of India Ltd received an order from the Bihar Education Project Council for a supply of teaching-learning material for classes IV to V worth Rs 39.88 crore.
Looking into Railtel Corporation of India Ltd’s performance, revenue climbed by 1.2 percent from Rs 429 Crore in Q2FY23 to Rs 599 Crore in Q2FY24. During the same duration, net profit climbed by 23 percent from Rs 55 crore to Rs 68 crore.
RailTel makes capital expenditures (capex) to purchase, maintain, and upgrade physical assets such as OFC, buildings, technology, and equipment. Capital expenditures of around 157.67 Cr are expected for FY 2023-2024.
RailTel plans to build a 30 MW data center in Noida through cooperation. This would be an investment opportunity of around Rs.1500 crore for the DC partner.
The firm has the potential to generate Rs.150 crore by hosting and implementing NIC’s e-office for Central and State government ministries and departments, serving around 2.5 lakh users across 80 plus customers.
RailTel is spreading its network to over a million communities within five kilometers of its point of presence. So far, about 16,000 villages have been connected.
The stock returned 181.53 percent in six months and 184.28 percent over a year. If an investor invests Rs 1 lakh in the firm, it will be worth Rs 2.84 lakh each year.
RailTel is engaged in creating nationwide broadband and VPN services, telecom, and multimedia networks, to modernize the train control operation and safety system of Indian Railways.
Written by:- Abhishek Singh
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