Multibagger railway stock RailTel Corporation of India has secured a major order worth more than ₹25 crore from the Andhra Pradesh Police, reinforcing its growing presence in India’s security and surveillance infrastructure segment. This development comes at a time when the Navratna public sector undertaking has reported a stellar Q4 performance, with sharp growth in revenue and profitability.
In a regulatory filing dated May 27, 2025, RailTel informed the stock exchanges that it had received a work order from the Office of the Inspector General of Police (Technical Services), Andhra Pradesh. The contract pertains to the supply, installation, and maintenance of an integrated security solution for edge devices deployed within the Andhra Pradesh Police Department. The total order value stands at ₹25,12,94,570 including taxes, and the project is scheduled for completion by June 25, 2025.
The order, categorized under “arrears billing,” represents a domestic contract and is expected to further bolster RailTel’s non-railway revenue streams. With no promoter group involvement and no related party transactions, the order aligns with the company’s focus on clean governance and state-level digital transformation initiatives.
Q4 earnings
The announcement adds to the positive momentum RailTel has built through its operational and financial performance in the fourth quarter of FY25. The company reported a 46.3 percent year-on-year jump in net profit to ₹113.4 crore, up from ₹77.53 crore in the same quarter last year. Revenue from operations saw a robust 57 percent increase to ₹1,308.28 crore, compared to ₹832.7 crore a year ago.
On the operational front, RailTel’s EBITDA surged 53.8 percent to ₹180 crore, against ₹117 crore in the previous year’s corresponding quarter. However, EBITDA margin dipped slightly by 27 basis points to 13.73 percent from 14 percent. Despite this minor margin compression, the overall financial health of the PSU remains strong.
RailTel, which achieved Navratna status on August 30, 2024, offers broadband and VPN services, and has been instrumental in expanding India’s digital backbone across railway stations and public sector enterprises. The company’s network covers over 5,000 railway stations across the country, with connectivity reaching key commercial and administrative hubs.
Stock Performance
Despite a 10 percent dip over the last one year, RailTel has proven its mettle as a long-term wealth creator. The stock has delivered over 170 percent returns in the past three years and an impressive 200 percent over five years.
In May alone, the railway stock surged more than 30 percent, following a 2 percent fall in April. Prior to that, it rose 7.6 percent in March. February saw a steep correction of 30.8 percent, while January remained relatively flat with a 0.6 percent uptick.
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