RITES Limited, a leader in transport infrastructure consultancy and engineering, posted robust financial results for Q2 ending September 30, showcasing solid sequential revenue growth and a sizable order book. The company’s consolidated revenue stood at Rs 562 crore, while net profit reached Rs 83 crore. Additionally, RITES declared a second interim dividend of Rs 1.75 per share with an impressive payout ratio of 97.9%, setting November 15 as the record date.
RITES’ standalone revenue saw a 16.5% sequential growth, reaching Rs 554 crore, and the company secured over 90 new projects worth Rs 729 crore, raising its total order book to Rs 6,581 crore. Consolidated operating revenue came in at Rs 541 crore, with EBITDA at Rs 107 crore, yielding a margin of 19.9%. However, the Q2 PAT showed a year-on-year dip from Rs 110 crore due to lower quality assurance income and turnkey project challenges caused by the monsoon.
For the half-year, RITES recorded total revenue of Rs 1,070 crore and EBITDA of Rs 215 crore with a 21.0% margin, though these figures reflected a decline from H1 FY24 due to lower export revenue and a dip in international consultancy and quality assurance segments.
Consultancy remains the company’s primary revenue source, bringing in Rs 272 crore with a 29.6% margin, while leasing held steady at Rs 35 crore. Turnkey projects contributed Rs 201 crore, while export activity for the quarter remained minimal.
CMD Rahul Mithal expressed optimism about RITES’ future growth, underscoring that Q2 order bookings exceeded the entire H1 from the previous fiscal year, signaling robust demand and the company’s consistent project acquisition capability.
