RITES Ltd., a prominent Transport Infrastructure Consultancy and Engineering firm, reported its standalone and consolidated financial results for Q1FY24. The company's operating revenue (consolidated) saw a 10% dip, reaching ₹544 crore in Q1FY24, while total revenue stood at ₹563 crore, down from ₹637 crore in Q1FY23. EBITDA and PAT amounted to ₹161 crore and ₹120 crore, with margins remaining consistent at 29.6% and 21.3%, respectively. The decrease in revenue was attributed to a decline in exports and revenue from quality assurance.
The Consultancy business remained the highest revenue contributor, securing ₹270 crore with an impressive margin of 44.2%. Leasing revenue amounted to ₹31 crore, and turnkey revenue stood at ₹165 crore. However, the Export segment experienced a dip of 52.1% at ₹38 crore, but the company anticipates sustained revenue growth in this area by year-end.
RITES also declared its first interim dividend of ₹3.75 per share, totaling ₹90 crore. The company's order book remained healthy, with more than 70 orders (including extension of works) worth over ₹300 crore secured in Q1FY24. As of June 30th, 2023, RITES maintains a robust order book of ₹5702 crore.
On the growth prospects, Mr. Mithal said, “Building up on this performance further in the coming quarters, we are confident of being able to tap the upcoming opportunities in the Project Consultancy stream and the Export business, in line with our vision for this financial year.”
Commenting on the results, Mr. Rahul Mithal, Chairman and Managing Director, RITES Limited said, “The Q1 results show movement in the right direction vis-a-vis our envisaged goal for this FY, of being able to reduce the impact of the changed business dynamics on the QA front and downtick of the Export revenue y-o-y by consolidating our Project Consultancy business.”
With its wide range of services and extensive geographic reach, RITES Limited, a Miniratna (Category - I) Schedule 'A' Public Sector Enterprise, is a dominant force in India's transport consultancy and engineering market. The organisation has 49 years of experience and has completed projects in over 55 countries across Asia, Africa, Latin America, South America, and the Middle East.
