The RailTel Corporation of India has secured a work order worth Rs 294.37 crore from Tamil Nadu State Marketing Corporation (TASMAC).
The order is placed to execute an integrated solutions project, which will enable end-to-end computerization and networking of TASMAC’s core and supporting operations for a period of five years. Following the announcement of deal the shares of RailTel Corporation traded in green throughout today’s trading session. The share prices saw a surge of 1% to Rs 129.65 against its previous close of Rs 127.85 on BSE.
The market capitalization of RailTel Corporation was recorded at Rs 4,109.62 as on June 26. The stocks surged 7.35% in one month and over 37.91% in one year. The stocks reached its 52-week high on November 28, 2022 at Rs 148.70 and 52-week low on June 24, 2022 at Rs 90.50. The net profit saw a rise of 40% to Rs 76.04 crore in Q4 of FY23 when compared to Rs 54.31 crore company recorded in same quarter last year. The net sales of Q4 in FY23 saw a rise of 51.15% to Rs 703.63 crore from Rs 465.53 crore in Q4 of FY22.
The firm is conducting CAPEX from time to time to acquire, upgrade, and maintenance of physical assets such as OFC, building, technology and equipment. The company has planned a CAPEX worth Rs 157.67 crore in FY 2023-24. The company falls under Mini Ratna (Category-I) PSU and has pan India optical fibre network on an exclusive right-of-way (ROW) running alongside a railway track, making it one of the longest neutral telecom infrastructure provider in the nation. RailTel Corp works in Telecom services and project work services and has reliable communication network in rural and remote areas of the country.
The company generates sufficient revenue, manages expenses and has strong profitability and liquidity.
