RITES Q1 net jumps 18.5% to Rs 82 crore

Railway PSU RITES today reported an 18.5 per cent increase in net profit at Rs 82 crore for the April-June quarter.

The company has recorded revenue of Rs 370 crore in the the first quarter of 2018-19, a flat growth from the corresponding period in 2017-18, RITES said in a statement.

"PAT (profit after tax) has gone up by 18.5 per cent to Rs 82 crore over first quarter of 2017-18. This increase in profit is achieved as our consultancy segment, domestic leasing and turnkey projects kept their momentum and other income has increased by Rs 20 crore," it said.

Consultancy business remained the focus area where the company has achieved revenue of Rs 209 crore with a growth of 2.6 per cent over the same period previous fiscal. During the quarter we were able to maintain the consultancy margins of 37.9 per cent excluding the un-allocable expenses.

Domestic leasing business has also shown a growth of 16.8 per cent over first quarter of 17-18 with high profit margins and recorded revenue of Rs 23 crore in the June quarter.

"Proactive business development and execution of projects by RITES, has led to growth in our consultancy, domestic leasing and turnkey construction business. It has further led to addition of 90 new projects including extension of some projects to our order book during the Q1'18-19," RITES CMD Rajeev Mehrotra said.

The order book of the company stands at Rs 5,517 crore as on July 30, 2018.

Shares of RITES closed at Rs 296.85, down 4.53 per cent over previous close on the BSE.