Rs 5,529 crore order book: This multibagger PSU stock bags new order worth Rs 414 crore; stock gained over 18 per cent!

Shares of the company have gained more than 40 per cent in the last six months.

RITES Limited, a leading engineering and consultancy company in India, has emerged victorious in securing the Project Management Consultancy (PMC) contract for IIT Bhubaneswar's infrastructure development project. This significant win positions RITES as the top bidder (H1) for the project, with an estimated total cost, including PMC fees, reaching Rs. 414 crores.

The news has been met with great enthusiasm, and Rites Limited's shares soared by around 19% on Thursday as investors reacted positively to the development. This project win further strengthens RITES' position as a dominant player in the domestic infrastructure market and underscores its expertise in managing complex infrastructure projects.

In Q2FY24, the company posted an 11.64 per cent decline in its consolidated revenue at Rs 582.36 crore compared to Rs 659.08 crore from the previous year’s corresponding quarter. The operating profit of the company stood at Rs 164.29 crore, while the PAT of the company stood at Rs 108.59 crore, from Rs 140.37 crore last year same quarter. The company has an order book of Rs 5,529 crore as of September 30, 2023.

RITES Limited is a public sector enterprise and a leading player in the transport consultancy and engineering sector in India, having diversified services and geographical reach. The company is the only export arm of Indian Railways for providing rolling stock overseas (other than Thailand, Malaysia, and Indonesia).

The stock has shown impressive growth, and investors should keep a close eye on this stock. 

Disclaimer: The article is for informational purposes only and not investment advice.