RailTel Q1 Results: Net profit rises 25% to ₹49 crore, revenue up 19% YoY

RailTel Q1 Results: RailTel announced its April-June quarter results for fiscal 2024-25 (Q1FY25), reporting a 25 per cent rise in net profit at ₹49 crore, compared to ₹39 crore in the corresponding period last year. The public sector undertaking (PSU)'s revenue from operations in the first quarter of the current fiscal rose 19.4 per cent to ₹558 crore, compared to ₹476 crore in the year-ago period.

On the operational front, RailTel's earnings before interest, tax, depreciation, and amortization (EBITDA) during the June quarter rose 14.8 per cent to ₹103.4 crore, compared to ₹90 crore crore in the same period last year. Margin rose to 18.5 per cent compared to 19.3 per cent in the year-ago period.

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For the March-ending quarter (Q4FY24), the railway PSU reported a net profit of ₹78 crore. The revenue from operations during the same period improved by 19.51 per cent YoY to ₹833 crore. For the full fiscal year (FY24), the net profit jumped 31.55 per cent YoY to ₹246 crore.

RailTel has given massive multi-bagger returns to investors, with 201.21 per cent in the last year. On Thursday, shares of RailTel settled 0.85 per cent lower at ₹495.90 apiece against a 52-week high of ₹618 apiece on the BSE.

RailTel, a "Mini Ratna (Category-I)" Central Public Sector Enterprise, is a prominent provider of information and communication technology (ICT) services. It is one of India's largest neutral telecom infrastructure providers, boasting an extensive optic fibre network that covers both urban hubs and rural areas.

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RailTel's main goal was to modernise the existing telecom infrastructure, particularly focusing on enhancing train control, operation, and safety systems. It also aimed to generate additional revenue streams by developing a nationwide broadband and multimedia network. This involved strategically laying optical fibre cables along railway tracks, utilising existing right of way.

RailTel's optic fibre network spans over 61000+ route kilometres and connects 6108+ railway stations across India. Additionally, the company's urban coverage extends over 21000+ kilometres nationwide, as detailed on its official website.