Now Reading: RailTel shares rise 7.5% after Rs 166.80 crore EPFO order
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RailTel shares rise 7.5% after Rs 166.80 crore EPFO order
RailTel Corporation of India shares rose 7.5% to Rs 297.60 on Wednesday after the state-owned company secured a one-year extension to an Employees’ Provident Fund Organisation work order worth Rs 166.80 crore. The additional components are scheduled for execution by February 2027.
The contract is RailTel’s fourth order announced in August. Other August wins include a Rs 63 crore Integrated Gate Automation System project for Deendayal Port Authority, a Rs 119.19 crore cloud services contract from the Department of Posts and a Rs 37.67 crore fibre-optic cable order for North Western Railway.
RailTel shares remain down 22% in 2026 after falling 8% in 2025. The company’s standalone net profit declined 4.07% year-on-year to Rs 62.40 crore in Q3 FY26, while operating revenue rose 18.99% to Rs 913.45 crore. The stock’s record high is Rs 618, reached in 2024.
Indian Opinion Analysis
An order pipeline improves potential revenue visibility, but its effect on earnings depends on execution schedules, costs and payment cycles. RailTel’s business is tied largely to public-sector contracts, making tender timing and government project implementation important variables for investors. The stock’s gap from its previous peak also shows that contract announcements alone have not restored its earlier valuation. Investors will likely watch the company’s next results for margins, cash flows and conversion of awarded work into billed revenue. The February 2027 completion deadline is the clearest near-term execution marker.
Source: livemint.com
This story was synthesised by AI from the source linked above. Methodology and corrections.
