RITES wins order worth $5.4 million from Ntokoto Rail Holdings

The company reported that the order is for the supply and commissioning of overhauled in-service cape gauge ALCO diesel-electric locomotives. The locomotives will be fitted with new cape gauge bogies, traction motors, control system air brakes, etc. The locomotives will be overhauled at the nominated facility with one year of on-site warranty support.

Last week, the company announced that it had signed a Memorandum of Understanding (MoU) with the Delhi Metro Rail Corporation (DMRC) for operating and maintaining Delhi’s metro rail network. Under the MoU, it will include general consultancy, project management, design, and feasibility studies.

Additionally, the company also announced that it has received an LOA from Tsiko Africa Logistics for the supply, commissioning, and one-year on-site warranty of an overhauled in-service cape gauge of 3100 horsepower, and diesel-electric locomotive. The order is worth $4.28 million and is expected to be executed within 6 months.

In Q1FY25, RITES reported a 24.4% year-on-year (YoY) fall in its net profit to ₹90 crore. The company’s consolidated revenue during the quarter was lower by 9.7% YoY to ₹508 crore.

Meanwhile, the earnings before interest, taxes, depreciation, and amortisation (EBITDA) grew plunged 33.1% YoY to ₹108 crore. The EBITDA margins during Q1 came in at 22.2% compared to 29.6% in the corresponding period last year. The net profit margins contracted to 17.8% from last year’s 21.3%.

At the end of the first quarter of FY25, the company’s order book stood at ₹6,355 crore.

Shares of the company have risen by nearly 17% since the beginning of the year. The stock has gained over 26% in the past year.