A leading Indian telecom infrastructure provider, known for nationwide network services, has secured significant contracts enhancing its digital solutions portfolio. The company won a crore surveillance project for internet leased lines supporting CCTV streaming and partnered for a 30-year, 10MW data centre venture in Noida through a revenue-sharing model.
Railtel Corporation of India Limited’s stock, with a market capitalisation of Rs. 12,996.40 crores, rose to Rs. 405, hitting a high of up to 1.61 percent from its previous closing price of Rs. 398.55. However, the stock over the past year has given a negative return of 6.9 percent.
Contract details
Order RailTel Corporation has secured a domestic work order worth Rs. 10.59 crore from Mahanadi Coalfields Limited for provisioning internet leased lines for CCTV streaming. The contract spans until July 31, 2028.
RailTel has selected Techno Electric & Engineering Co. as its Managed Service Data Centre Partner to set up a 10MW Data Centre in Noida on a revenue-sharing basis. The contract spans 30 years and may be extended. LOI was issued on May 31, 2025; earnings are currently undetermined, but RailTel will get a fixed share of revenue on a percentage basis.
Also read: Midcap stock jumps after company’s net profit increases by 110% YoY
How Railtel Stands Out
RailTel distinguishes itself through its vast optic fibre network laid along railway tracks, covering over 62,000 route kilometres and reaching 70 percent of India’s population. This unique infrastructure enables broad, high-capacity connectivity across urban and rural regions, offering a significant competitive advantage.
Its strategic access to railway corridors ensures a secure and cost-efficient setup that is difficult to replicate. Coupled with a broad service portfolio spanning connectivity, data centres, and surveillance, RailTel is well-positioned to serve both government and enterprise sectors effectively.
Financial Highlight
In Q4FY25, the company reported revenue of Rs. 1,308 crore, marking a strong growth of 57 percent YoY (vs. Rs. 833 crore in Q4FY24) and 70 percent QoQ (vs. Rs. 768 crore in Q3FY25). This robust top-line performance aligns with its 3-year sales CAGR of 32 percent, indicating sustained growth momentum.
Net profit stood at Rs. 113 crore in Q4FY25, up 45 percent YoY (vs. Rs. 78 crore) and 74 percent QoQ (vs. Rs. 65 crore). The company has maintained a 3-year profit CAGR of 23 percent and an ROE CAGR of 15 percent, reflecting improving profitability and efficient capital utilisation.
Written By Fazal Ul Vahab C H
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