RITES: FY19 order book grew by 27.5 per cent

India’s public sector enterprise and miniratna company RITES announced its order book for FY19, on Friday. The total order book was up by 27.5 per cent during the financial year 2019. Reacting to the news, the stock price recovered from its intraday lows.

RITES released a press note on exchanges which said that company continued its business growth along with a focus on new business developments. This was evident from its strong order book status which saw a rise of 27.5 per cent during FY19. At the end of FY19 its order book stood at Rs. 6,142 crore as against Rs. 4,818 crore at the end FY18. RITES secured more than 300 projects/contracts including an extension in scope of projects during FY19. The current status of the order book has the potential to generate higher operating revenue over the next two to three years.

Further, commenting on some key order intake, the company stated that it received a work order for providing Project Management Consultancy to Indian Railways Station Development Corporation at a fee of Rs. 81.2 crore. Its consultancy and leasing segment's order book stood at Rs. 2,320 crore and Rs. 152 crore, respectively. After successful completion of trial runs of its first Locomotive and DMU set in Sri Lanka, RITES has exported one more DMU set and locomotive to them in Q4 FY19. Export order book as on 31.03.2019 stood at Rs. 1,086 crore.

On Friday, the stock closed at Rs. 252.45 per share, down by 1.69 per cent on BSE. The benchmark index closed trading session with gains of 160 points at 38767.