RailTel Corporation Loses Bihar Education Projects Worth ₹609.56 Crore After Order Cancellations

RailTel Corporation of India faces a significant setback as the company disclosed the cancellation of multiple work orders from the Bihar Education Project Council, with a combined value of approximately ₹609.56 crore. The telecommunications infrastructure provider informed stock exchanges about these developments, which represent substantial lost business opportunities in the education sector.

Major Project Cancellations

The cancelled orders encompass several key education infrastructure projects across Bihar:

Project Type	Value (₹ Crore)	Description
Smart Classrooms	262.14	Procurement, supply and installation in government middle schools
Teaching Materials	89.92	Supply of learning materials for Classes I to V
Additional Project	257.50	Separate education project under Bihar Education Project Council
Total Impact	609.56	Combined value of all cancelled orders

Smart Classroom Project Details

RailTel had previously received a Letter of Acceptance (LoA) from the Bihar Education Project Council for the procurement, supply and installation of smart classrooms in government middle schools across Bihar. This project, valued at ₹262.14 crore, was expected to modernize educational infrastructure in the state's government school system.

The company has now informed exchanges that the customer cancelled the work order due to unavoidable reasons, without providing specific details about the circumstances leading to the cancellation.

Additional Order Losses

Beyond the smart classroom project, RailTel disclosed the loss of additional orders from the same customer. The company lost an order worth ₹89.92 crore related to the supply of teaching learning material for Classes I to V in government schools across Bihar.

Furthermore, the State Project Director of the Bihar Education Project Council cancelled another LoA and work order for a separate project valued at ₹257.50 crore, adding to the company's total order losses.

Stock Performance Impact

RailTel Corporation shares ended 0.80% lower on Tuesday at ₹340.80, reflecting market reaction to the order cancellations. The stock has declined 9% so far in 2026, indicating broader challenges facing the company in the current market environment.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.18%	-9.39%	+2.11%	-18.24%	-6.57%	+177.01%

RailTel Corporation of India has faced a significant setback with the cancellation of a substantial order worth ₹262.14 crores for classroom projects in Bihar. The Bihar Education Project Council (BEPC) has canceled this contract, which was expected to contribute to the company's revenue stream.

Order Cancellation Details

The canceled order was valued at ₹262.14 crores and was related to classroom infrastructure projects in Bihar. This represents a notable contract loss for RailTel Corporation of India, which operates in the telecommunications and digital infrastructure space.

Potential Impact

The cancellation of this substantial order may affect the company's project pipeline and revenue expectations. Such developments typically require companies to reassess their business projections and explore alternative opportunities to maintain growth momentum.

RailTel Corporation of India will need to focus on securing new contracts and strengthening its existing project portfolio to mitigate the impact of this order cancellation.