Now Reading: RITES reports record Rs 9,445 crore order book for FY27
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RITES reports record Rs 9,445 crore order book for FY27
RITES has entered FY27 with a record order book of Rs 9,445 crore, Chairman and Managing Director Rahul Mithal told Economic Times Government. The company secured more than 120 orders worth over…
The Story in Brief
RITES has entered FY27 with a record order book of Rs 9,445 crore, Chairman and Managing Director Rahul Mithal told Economic Times Government. The company secured more than 120 orders worth over Rs 674 crore in the first quarter, averaging about 1.4 orders a day. More than 70% of its orders came through competitive bidding in domestic and international markets.
Mithal said consultancy, exports, turnkey projects and leasing would support growth. International business has an order book of about Rs 2,100 crore and is expected to contribute nearly 15% of revenue this year. Turnkey projects account for almost half the total order book. RITES is executing more than 700 assignments and aims to keep consultancy margins above 30%.
The Indian Opinion
The easy story is that a record order book guarantees record profits. It does not. RITES says much of the book was won in the past 12 to 18 months, so execution and revenue recognition still have to follow. The other lazy claim is that overseas work alone will transform the company. Its test is clearer: can RITES convert the Rs 9,445 crore book into steady quarterly revenue while protecting consultancy margins above 30%?
Source: government.economictimes.indiatimes.com
This story was synthesised by AI from the source linked above.
