RailTel Corp shares gained more than 3.6% after the company on Thursday, March 21, said it had received an order worth over ₹99 crore from the Bihar government’s education department.
Under the contract, the public sector undertaking (PSU) of the Indian Railways will supply student kits (teaching learning material) for Classes VI to XII.
The company received the ₹99.02 crore contract from the Bihar Education Project Council. The contract will be executed by June 13, 2024, RailTel Corporation said in a stock exchange filing.
Reacting to the development, RailTel Corp shares gained as much as 3.6% to an intra-day high of ₹362.95 apiece on the BSE. This increase has helped in pushing the company’s market capitalisation to over ₹11,500 crore.
On another note, Sanjai Kumar, CMD, RailTel Corporation of India told CNBC-TV18 on Thursday, March 21 that the company’s current orderbook stands at ₹4,900 crore. “In March, we have clocked a very good number of orders. With that, we are now completing around ₹1,250 crore orders in this quarter itself,” he said.
He added that 40% of the total order book is expected to convert to revenues by FY25. “As far as the growth guidance, so we will certainly make our best efforts to exceed the current growth guidance and we are sure that we will achieve that. We’ll keep the growth guidance certainly more than this. 25% more for the next year,” he said.
Earlier this month, the company secured a work order to the tune of nearly ₹88 crore from the State Transport Authority, Odisha.
The contract entails the enhancement of the current command control center into a unified one and the deployment of an Intelligent Enforcement Management System (IEMS) for the State Transport Authority, Odisha.
In February, the company obtained a ₹125 crore contract from Western Railway to implement a unified communication infrastructure. The project involves deploying IPMPLS LAN Infrastructure, VOIP exchange, and IP-based control communication, along with upgrading the UTN communication network of Western Railway.
In January, the Railway Ministry PSU was awarded a ₹162.73 crore work order from Navodaya Vidyalaya Samiti to provide and execute integrated infrastructure and IT solutions in JNVS schools. This contract was granted under the PM SHRI initiative.