 "Viksit Bharat Budget 2024: RailTel stock rallies 5% on Rs 187 cr-order win")
RailTel stock ahead of Budget 2024: Shares of RailTel Corporation of India (RailTel) jumped as much as 4.98 per cent to hit an intraday high of Rs 549.55 per share on Tuesday, July 23.
The uptick in the stock price came after the company announced that it has secured an order from the Ministry of Railways (Railway Board).
In an exchange filing, the company said, “This is to inform you that RailTel Corporation of India Ltd. (the Company) has received the work order from Ministry Of Railways (Railway Board) for Design, Development, Implementation, Operations and Maintenance of HMIS and Integrated Empanelled Hospital Referral Portal for Indian Railways amounting to Rs. 1,86,81,00,000 (Including Tax).”
Under the order details, RailTel will be responsible for design, development, implementation, operations and maintenance of HMIS and Integrated Empanelled Hospital referral portal for Indian Railways.
The order needs to be completed in 4 years, or 48 months, the company said in a statement.
Financial performance
RailTel reported a 3 per cent increase in profit after tax (PAT) to Rs 77.5 crore in Q4FY24, compared to Rs 75.2 crore in the corresponding period of the previous year (Q4FY23).
The Mini Ratna company under the Railway Ministry disclosed a total income of Rs 852 crore for the last quarter of 2023-24, up from Rs 707.29 crore in the year-ago period, according to an exchange filing.
For the fiscal year ending on March 31, 2024, RailTel achieved a total income of Rs 2,622 crore and a total PAT of Rs 246 crore, marking a growth of 31 per cent in both turnover and profits compared to the previous year.
Set up in 2002 to modernise the train control operation and safety system of Indian Railways, RailTel is an Indian public sector enterprise which provides broadband and VPN services.
The market capitalisation of RailTel is Rs 17,186.25 crore, according to Bombay Stock Exchange (BSE). The company falls under the BSE SmallCap category. At 9:25 AM, the stock of the company was trading 2.30 per cent higher at Rs 535.50 per share. In comparison, BSE Sensex was trading 0.14 per cent higher at 80,610.85 levels.