Shares of Railtel Corporation of India surged 10 percent to Rs 449 on October 16 after the company secured a Rs 79.8 crore order from the Maharashtra Housing And Area Development Authority (MHADA). The contract involves establishing, migrating, and managing cloud-based data centers and disaster recovery sites for MHADA.
The company’s stock had declined by 21 percent over the last three months. However, Railtel’s recent elevation to ‘Navratna’ status on August 30 has boosted its operational freedom, following an annual turnover of Rs 2,622 crore and a net profit of Rs 246 crore for FY24.
Railtel had in September secured a Rs 156-crore contract from Maharashtra Rural Development for works at Konkan, Pune and Nashik. During the June 2024 quarter, the company recorded a net profit of 25.2 per cent year-on-year at Rs 48.7 crore. Revenue from operations rose 19.4 per cent.
The railway PSU is expecting 9-10 percent growth in the telecom revenue, while the project revenue may reach Rs 2,000 crore, thus taking the overall growth to 25-30 percent in FY25.
Shares of Railtel were up 8% at Rs 440, up from previous close, up on the NSE at 12:50 pm.
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Source: Moneycontrol
News Desk
