RITES Share price: Navratna company RITES Limited has received a new order from Steel Authority of India Limited (SAIL). This railway sector company has given this information in its exchange filing today on January 2. Amidst this news, today the company’s shares fell by 0.78 percent and the stock closed at Rs 292.95 on BSE. The market cap of the company is Rs 14,079 crore. Its 52-week high is Rs 413.08 and 52-week low is Rs 249.93. In the last one year, this stock has given a return of about 17 percent.
Details related to the orders received by RITES
SAIL owned Bhilai Steel Plant has assigned a major project to RITES for refurbishing of WDS6 locomotives. This work will be done under the project “R3Y/R6Y Repair of WDS6 Locomotives”. The contract, worth ₹69.78 crore (exclusive of GST), will run for three years and will entail comprehensive repair and maintenance of multiple engines.
RITES has recently announced the acquisition of another important project. On January 1, 2024, RITES revealed that it has won a $9.7 million order to upgrade the Palmyra to Molson Creek Highway in Guyana, South America. The project is expected to be completed in five years, comprising a 36-month pre-construction and construction phase, followed by a 24-month post-construction period.
RITES business and financials
RITES was established in 1974. The company provides engineering and consultancy services. The company was awarded Navratna status in October 2023, a significant achievement that has enhanced its operational autonomy and financial capabilities. With this status, RITES can freely invest up to ₹1000 crore without central government approval, which will enable the firm to undertake larger and more complex projects.
RITES reported a net profit of ₹82.5 crore in Q2 FY24, a decline of 25% compared to ₹110.2 crore in the same period last year. Revenue also declined 7.1 per cent to ₹541 crore during the quarter, down from ₹582.4 crore year-on-year.
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