During Tuesday’s trading session, the shares of one of the largest neutral telecom infrastructure providers in India surged 3.4 percent to Rs. 483.15 on BSE, after the company secured a work order worth Rs. 48.7 crores from a Health Insurance firm.
With a market capitalisation of Rs. 15,443.6 crores, at 02:03 p.m., the shares of RailTel Corporation of India Limited were trading in the green at Rs. 480.05, up by nearly 2.3 percent, as against its previous closing price of Rs. 469.5.
What’s the News:
According to the latest regulatory filings with the stock exchanges, RailTel Corporation of India Ltd. received a work order from Health Insurance TPA of India Limited amounting to Rs. 48.7 crores.
The work order is for the Integrated Claims Management Solution Portal and Mobile Application, to be executed by 14th June 2030.
Previous News:
The Department of Public Enterprises, Ministry of Finance, Government of India, granted “Navratna Status” to RailTel Corporation of India on 30th August.
On 4th September, the company received a work order, valued at Rs. 10.92 crores, from Northern Railways for the Railway Telecom Project.
Financials:
The company experienced significant growth in its revenue from operations, showing a year-on-year rise of around 19.3 percent from Rs. 468 crores in Q1 FY24 to Rs. 558 crores in Q1 FY25.
Similarly, its net profit increased during the same period from Rs. 38 crores to Rs. 49 crores, indicating a rise of nearly 29 percent.
The total income of RailTel Corporation increased by a CAGR of 29 percent to Rs. 2,622 crores in FY24, as against Rs. 1,578 crores in FY22.
The company’s order book is valued at Rs. 4,682 crores. Of this total, Government Nomination orders account for 22.4 percent with a value of Rs. 1,047 crores, while Tender orders make up the majority at 75.7 percent, totalling Rs. 3,546 crores. Private orders contribute the remaining 1.9 percent, amounting to Rs. 90 crores.
Stock Performance
The stock has delivered multibagger returns of nearly 121 percent of returns in one year, and around 35 percent of positive returns in the last six months. So far in 2024, the shares of Railtel Corporation have given positive returns of about 35.4 percent.
About the Company:
Incorporated in 2000, RailTel Corporation of India Limited is one of the largest neutral telecom infrastructure providers in India owning a Pan-India optic fibre network on exclusive Right of Way (ROW) along Railway track.
RailTel is at the forefront of providing nationwide Broadband Telecom & Multimedia Networks in all parts of the country in addition to the modernization of Train operations and administration network systems.
Written by Shivani Singh
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