IRCTC posts net loss of Rs 24 cr in June quarter

IRCTC reported a net loss of Rs 24.60 crore in Q1 June 2020 as against a net profit of Rs 72.33 crore in Q1 June 2019.

Revenue from operations slumped 71% to Rs 131.33 crore in Q1 June 2020 over Q1 June 2019. IRCTC posted a pre tax loss of Rs 29.38 crore in Q1 June 2020 as against a net profit of Rs 111.74 crore in Q1 June 2019. The company received a tax rebate of Rs 4.77 crore in Q1 June 2020.

IRCTC reported losses in all of segments. Revenue from catering segment tumbled 67% to Rs 89.89 crore during the period under review. Revenue from internet ticketing segment declined 57% to Rs 35.22 crore in Q1 June 2020 over Q1 June 2019.

Revenue from Rail Neer segment dropped 94.3% YoY to 3.25 crore in Q1 June 2020. Tourism business slumped 94% to Rs 2.95 crore in Q1 June 2020 over Q1 June 2019.

The company said it does not forsee any adverse impact on the supply chains as and when the business is resumed wherever the operations were curtailed or have remain suspended on account of present pandemic. The result was announced after market hours today, 11 September 2020.

Shares of IRCTC ended almost flat at Rs 1370.50. The stock traded in a range of Rs 1351 and Rs 1376.05 in the intraday.

IRCTC, a Mini Ratna public sector enterprise under the administrative control of Ministry of Railways, is the sole entity authorized by Indian Railways (IR) to provide catering services to railways, online railway tickets and packaged drinking water at railway stations and trains in India. IRCTC operates in four business segments, namely, internet ticketing, catering, packaged drinking water and travel & tourism.

The Government of India holds 87.4% stake in IRCTC as of 30 June 2020.

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