RITES logs significant increase in Q3 revenue to Rs792cr; Stock up 1%

9 Feb 2022 , 12:11 PM

RITES Limited, the leading Transport Infrastructure Consultancy and Engineering company, reported its standalone and consolidated financial results for the Quarter, and nine months ended on December 31, 2021.

The consolidated revenue in Q3FY22 has increased to Rs792cr as against Rs480cr in Q3FY21. Similarly, operating revenue, excluding other income, stood at Rs775cr in Q3FY22, up by 70.6%, as against Rs454cr in Q3FY21. This significant revenue increase is mainly attributed to growth in exports and energy business, the company said in a filing on Tuesday. 

Core EBITDA and Profit After Tax (PAT) stood at Rs195cr and Rs144cr against Rs133cr and Rs105cr, respectively, in Q3FY21 with operating margins remaining range-bound.

The total standalone revenue on yoy basis in Q3FY22 has increased by 66.0% to Rs771cr. Similarly, operating revenue, excluding other income, stood at Rs755cr in Q3FY22, up by 71.9% against Rs439cr in Q3FY21. EBITDA and PAT stood at Rs179cr and Rs134cr against Rs122cr and Rs99cr, respectively, in Q3FY21.

At around 12.14 pm, Rites Ltd was trading at Rs265.85 per piece up by Rs2.5 or 0.95% from its previous closing of Rs263.35 per piece on the BSE.

Performance of standalone segments

• Revenue from consultancy services was up by 1% to Rs247cr while maintaining margins of 39.2%.
• Revenue from leasing business stood at Rs32cr in Q3FY22 as against Rs29cr in Q3FY21 while maintain margins of 37.8%.
• With the export to Sri Lanka and Mozambique, the segment recorded multi-fold growth to Rs357cr in Q3FY22 with a margin of 24.1%
• Revenue from turnkey in Q3FY22 has decreased by 30.8% to Rs110cr. Revenue from recently secured electrification and Rail Over Bridge projects is likely to reflect in subsequent quarters.

Performance of 9MFY22
Easing of Covid-19 restrictions has led to growth across all segments, except turnkey, during 9MFY22. RITES total consolidated revenue stood at Rs1958cr in 9MFY22 against Rs1355cr in 9MFY21. Similarly, the operational revenue, excluding other income, stood at Rs1896cr in 9MFY22 against Rs1276cr in 9MFY21. EBITDA and PAT stood at Rs519cr and Rs396cr, up by 39.3% and 30.9%, respectively.

Order Book
Company’s order book stands at Rs5,131cr on account of non-consideration of the non-starter projects and some reduction in scope of the projects.

Rahul Mithal, Chairman and Managing Director, RITES Limited, said, “RITES continues to build on the growth momentum with total revenue for the quarter reaching Rs792cr, up by 64.9%, against Q3FY21. Our focus will be to consolidate on this position and follow the mantra – Not just more of the same, but much more of the new.

On the outlook, Mithal said, “The recent Budget has further thrown up a number of exciting opportunities and RITES will continue to work on its strategy of Diversification and equipping itself to be Future Ready.”