Rs 4,682 crore order book: Multibagger railway telecom company bags new order worth Rs 10,92,47,304 from Northern Railway
The stock gave multibagger returns of 120 per cent in just 1 year whereas BSE Sensex Index was up by 23.23 per cent in the same period.
On Friday, shares of RailTel Corporation of India Ltd (RCIL) plunged 1.55 per cent to Rs 484.75 per share from its previous closing of Rs 492.40 with an intraday high of Rs 494.25 and an intraday low of Rs 477.15. The stock’s 52-week high is Rs 618 and its 52-week low of Rs 200.30.
RailTel Corporation of India Ltd. has secured a work order from Northern Railways for the Railway Telecom Project, valued at Rs 10,92,47,304. The project, awarded by Northern Railway PROJECT-LDH-S AND T, is a domestic contract to be executed within September 04, 2025. This project aligns with RailTel's commitment to providing comprehensive telecommunication solutions to the Indian Railways, further strengthening its position in the domestic market.
RailTel Corporation of India Ltd has been conferred with the prestigious "Navratna" status by the Department of Public Enterprises, Ministry of Finance, Government of India. This recognition acknowledges RailTel's significant contributions to the Indian economy and its emergence as a leading player in the telecommunications and information technology sectors. The "Navratna" status grants RailTel greater autonomy in decision-making, financial flexibility, and the ability to undertake larger investments, further empowering it to drive innovation and growth.
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Established in 2000, RailTel Corporation of India Ltd (RCIL) is a "Miniratna" public sector enterprise under the Indian government, offering various telecom services including broadband, VPN, and data centres. With its extensive network covering over 6,000 stations and 61,000+ km of fibre optic cables, RailTel reaches 70 per cent of India's population and is the only consistently profitable, almost debt-free telecom company in the government sector. The company has a market cap of over Rs 15,000 crore.
Quarterly Results: The net sales increased by 24.1 per cent to Rs 467.61 crore and net profit increased by 48.5 per cent to Rs 38.39 crore in Q1FY25 compared to Q1FY24.
Annual Results: the net sales increased by 31.2 per cent to Rs 2,567.82 crore and net profit increased by 30.8 per cent to Rs 246.21 crore in FY24 compared to FY23.
As of June 2024, the company’s order book stands at Rs 4,682 crore wherein Government Nomination Contribution is 22.4 per cent, Tender Contribution is 75.7 per cent and Private Contribution is 1.9 per cent. The stock gave multibagger returns of 120 per cent in just 1 year whereas BSE Sensex Index was up by 23.23 per cent in the same period. Investors should keep an eye on this Small-Cap railway telecom stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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