RailTel Corporation of India Limited , a prominent player in the telecom and IT services sector, has reported a robust financial performance for the first quarter, coupled with a significant new order acquisition.

Strong Financial Performance

RailTel achieved an operating revenue of INR 744.00 crores in Q1, marking a substantial 33% year-on-year growth compared to INR 558.00 crores in the same quarter of the previous year. The company's performance was driven by strong contributions from both its Telecom and Project segments:

• Telecom segment: INR 335.00 crores
• Project segment: INR 409.00 crores

The company's total revenue for the quarter stood at INR 758.00 crores, reflecting a 31% year-on-year increase from INR 578.00 crores in the corresponding quarter of the previous year.

Profitability Boost

RailTel's profitability metrics showed significant improvement:

• Profit Before Tax (PBT): INR 89.00 crores (34% YoY growth)
• Profit After Tax (PAT): INR 66.00 crores (36% YoY growth)
• Earnings Per Share (EPS): INR 2.06 (36% YoY growth)

Order Book and New Acquisitions

The company's order book remains robust at INR 7,197.00 crores, with approximately INR 500.00 crores related to Kavach projects. During the quarter, RailTel secured new orders worth INR 721.00 crores, a significant increase from INR 218.00 crores in the same quarter of the previous year.

In a recent development, RailTel has received an Advance Work Order from Bharat Sanchar Nigam Limited (BSNL) for services amounting to INR 166.38 crores (including tax). This domestic order is to be executed by July 31, 2028, further strengthening RailTel's project pipeline.

Segment-wise Performance

The Telecom services segment showed the following revenue breakup:

Future Outlook and Initiatives

Sanjai Kumar, Chairman and Managing Director of RailTel, expressed optimism about the company's growth trajectory, projecting around 25% revenue growth for the full year. The company is actively expanding its portfolio in railway projects, particularly in Kavach signaling systems.

RailTel has planned a capital expenditure of INR 350.00 crores for the current fiscal year, primarily focused on data centers and telecom equipment. The company is also making strides in its data center business, with plans to operationalize a 5-megawatt data center in Noida within the next two years, scalable to 10 megawatts.

In the Edge data center space, RailTel aims to establish 4-5 Edge data centers this year, each with a capacity of around 0.2 megawatts.

Kavach Project and Partnerships

RailTel has partnered with Quadrant Future Tek as its exclusive OEM for Kavach equipment supply. The company is actively working on the implementation of Kavach projects, with execution timelines extending to 2026-27 and possibly into 2027-28.

With its strong financial performance, growing order book, and strategic initiatives in key areas like data centers and railway projects, RailTel appears well-positioned for sustained growth in the coming quarters.

Railtel Corporation of India Limited (RailTel) has announced a significant boost to its order book with a new contract from Bharat Sanchar Nigam Limited (BSNL). The state-owned telecom infrastructure provider has secured an order worth ₹166.38 crore (including tax) from BSNL for services.

Order Details

The company disclosed this information in a regulatory filing to the stock exchanges. According to the filing, RailTel received an Advance Work Order (AWO) from BSNL, marking a substantial addition to its project portfolio.

Key points of the order include:

• Order Value: ₹166.38 crore (including tax)
• Nature of Order: Services
• Execution Timeline: The project is scheduled to be completed by July 31, 2028

Impact on RailTel's Business

This order represents a significant win for RailTel, contributing to its growing order book. As of the latest available data, RailTel's order book stands at ₹7,197.00 crore, showcasing the company's strong market position in the telecom and IT infrastructure sector.

Company Performance

The new order comes on the heels of RailTel's strong financial performance in the first quarter. Some highlights from the company's recent financial results include:

Management Commentary

During a recent earnings call, Sanjai Kumar, Chairman and Managing Director of RailTel, expressed optimism about the company's growth trajectory. He stated, "We remain committed to pursuing growth and creating value for our esteemed investors. We are also exploring opportunities in order to realize our true potential."

Future Outlook

With this new order from BSNL and a strong existing order book, RailTel is well-positioned for continued growth. The company is actively expanding its presence in various sectors, including railway projects, state government initiatives, and international business opportunities.

As RailTel continues to secure significant orders and maintain a robust financial performance, it reinforces its position as a key player in India's telecommunications and IT infrastructure landscape.