Railway Penny Stock Hits Upper Circuit with Multiyear Contract with Eastern Railways and 34 EMU Ad sales
In FY24, company reported record-high revenue of Rs 205 crore, with net profit rising to Rs 14 crore, up from Rs 6 crore in FY23.
The Eastern Railway network in India is a key part of the country's transportation system. It's the fourth-largest railway network in the world and carries over 8 billion passengers every year. With 234 trains, including 174 daily trains, this network connects cities and towns across India and supports the country's economic and social development.
Recently, Cressanda Railway Solutions sold all 34 Electric Multiple Units (EMUs) in the Howrah division of Eastern Railways for advertising. Companies like Dabur India Limited, Emami, Anmol Biscuits, Stout Footwear, and Ganesh Spices have bought advertising space on the train coaches.
Cressanda had secured a multi-year contract with Eastern Railways. This contract allows Cressanda to:
- Advertise on the interior and exterior of over 500 trains, including Mail Express, Premium, Inter-city, and Local trains.
- Provide onboard Wi-Fi, internet, and Content on Demand services on Mail/Express and Premium trains.
- Sell non-catering travel-related items onboard.
Cressanda's new approach includes major improvements in train advertising and passenger services. The sale of the entire EMU inventory in Howrah for advertising is a big step forward. Esteemed clients like Dabur India Limited, Emami, Anmol Biscuits, Stout Footwear, and Ganesh Spices have secured advertising space on train coaches. This milestone reflects a significant shift in strategy and modernization efforts under the agreement with Eastern Railways.
As a result of these achievements, the penny stock of Cressanda Railway Solutions hit an upper circuit at Rs 12.72 on Wednesday. In FY24, Cressanda reported record-high revenue of Rs 205 crore, with net profit rising to Rs 14 crore, up from Rs 6 crore in FY23.
This penny stock has been hitting back-to-back upper circuits and has surged about 12 per cent in the month of July 2024.
Disclaimer: The article is for informational purposes only and not investment advice.