Synopsis:
RailTel has secured a ₹209.79 crore domestic order from BEPC for Bihar’s PM SHRI Education Quality Enhancement project, scheduled for completion by September 11, 2026.
This Railway PSU stock, engaged in developing nationwide broadband, telecom, and multimedia networks, modernizing train control systems, enhancing safety, and providing digital infrastructure solutions across India, jumped 9 percent after receiving an Order worth Rs. 210 crore from the Bihar Education Project Council (BEPC).
With a market capitalization of Rs. 12,738.05 crores, the share of Railtel Corporation of India Limited has reached an intraday high of Rs. 407.75 per equity share, rising nearly 8.83 percent from its previous day’s close price of Rs. 374.65. Since then, the stock has retreated and is currently trading at Rs. 396.90 per equity share.
What is the News?
RailTel Corporation of India Limited has secured a significant order from the State Project Director, Bihar Education Project Council (BEPC), for the implementation of the Education Quality Enhancement initiative in Bihar under the PM SHRI program.
The order is valued at approximately Rs. 209.79 crore and represents a major milestone for the company in contributing to the enhancement of educational infrastructure and quality in the state. The contract is domestic in nature, with completion scheduled by September 11, 2026.
Order Book
As of June 2025, RailTel Corporation of India Limited maintains a robust order book of Rs. 7,197 crore, including approximately Rs. 500 crore for Kavach projects. The company recorded a strong Q1 FY26 order inflow of Rs. 721 crore, a significant increase compared to Rs. 218 crore in Q1 FY25, reflecting continued growth and market confidence in its offerings.
Management Guidance and Capex
RailTel Corporation of India Limited expects strong growth in FY26, with management projecting approximately a 25 percent revenue increase, driven by a rising base and robust order inflows, while maintaining healthy operating margins in the range of 11–12 percent for the year.
The company reported a capital expenditure of Rs. 66 crore in Q1 FY26, with a full-year capex plan of Rs. 350 crore. The company’s investments are primarily focused on data centers and telecom equipment, with additional allocations for power plants, optical fiber networks, and software development, supporting its ongoing infrastructure expansion and modernization initiatives.
Company Overview
RailTel Corporation of India Limited, a Navratna PSU under the Ministry of Railways, was established in September 2000. The company’s primary mission is to develop a nationwide broadband, telecom, and multimedia networks while modernizing train control operations and enhancing safety systems across Indian Railways.
Recent quarter results
Coming into financial highlights, Railtel Corporation of India Limited’s revenue has increased from Rs. 558 crore in Q1 FY25 to Rs. 744 crore in Q1 FY26, which has grown by 33.33 percent. The net profit has also grown by 34.69 percent from Rs. 49 crore in Q1 FY25 to Rs. 66 crore in Q1 FY26. Railtel Corporation of India Limited’s revenue and net profit have grown at a CAGR of 26.33 percent and 16.80 percent, respectively, over the last five years.
In terms of return ratios, the company’s ROCE and ROE stand at 21.8 percent and 16.5 percent, respectively. Railtel Corporation of India Limited has an earnings per share (EPS) of Rs. 9.34, and its debt-to-equity ratio is 0.02x.
Written By – Nikhil Naik
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