RITES emerges lowest bidder for ₹900 crore-contract from Bangladesh Railway; check stock movement
Shares of RITES gained 1.84 per cent during the trading session on Thursday, October 5, after the railway PSU emerged as the lowest bidder in a tender floated by Bangladesh Railway. The estimated value of the contract is over $111.3 million or more than ₹900 crore, according to a regulatory filing by the engineering services company to the stock exchanges today.
‘’We are pleased to inform you that RITES is the lowest bidder (L-1) in the tender floated by Bangladesh Railway (price proposal opened on October 5, 2023). The estimated order value is approximately USD 111,003,177 (One Hundred Eleven Million Three Thousand One Hundred Seventy Seven US Dollars),” said RITES in its exchange filing.
The order pertains to the procurement of 200 broad gauge passenger carriages for the Bangladesh Railway. The time period of the execution of the order has not been specified as yet.
On Thursday, shares of RITES opened at ₹480.05, and gained 1.84 per cent to touch an intra day high of ₹488.90 apiece on the BSE. The stock had hit a 52-week high of ₹584 per share on September 11 and a 52-week low of ₹305.6 on December 26. Shares of RITES settled 1.14 per cent higher at ₹485 apiece on the BSE.
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RITES’ profit after tax (PAT) decreased by 26 per cent to ₹96 crore in the April-June quarter in fiscal 2023-24. It had posted a profit of ₹129 crore in the year-ago quarter. The company’s operating revenue, excluding other income, stood at ₹503.7 crore in the quarter under review, down 13 per cent from ₹578.33 crore in the year-ago quarter.
Also Read: RITES orders ₹1,000 crore orders in Africa, foreign consulting
The decline in revenue was largely attributed to a fall in export earnings and a decrease in quality assurance revenue. The fall in revenue from its turnkey segment was due to the impact of bad weather on execution in a few regions.
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Updated: 05 Oct 2023, 05:23 PM IST
Ganesh
http://ganesh@finplay.inFinance enthusiast, Mutual fund expert.