RITES Q2 results: Net profit falls 21.5% to Rs 110.17 crore

RITES also said that the fall in revenue from its turnkey segment was due to the impact of bad weather on execution in certain regions.

It witnessed a nearly 6.4 percent decline in revenues from its turnkey segment during Q2FY2024 to Rs 223.68 crore compared to Rs 238.56 crore in the same period a year ago.

Revenues from the company's export segment also slumped by 99 percent on-year during the quarter to barely Rs 72 lakh when compared to Rs 78.8 crore in the same period a year ago, while revenues from its lease and consultancy segment declined by 11.8 percent on year to Rs 31.32 crore.

The company's operating margin during the quarter fell significantly to 25.8 percent compared to 28.56 percent during the same period a year ago.

The operating margin from the domestic consultancy segment witnessed a fall to 46.51 percent from 49.35 percent a year ago.

The operating margin from RITES' turnkey segment also fell to 0.98 percent from 3.61 percent in the year-ago period.

Back in August, RITES Chairman & Managing Directors Rahul Mittal had told Moneycontrol that the company will aggressively bid for export and consultancy orders in 2023-24 in order to make up for the fall in revenues from the Indian Railways' quality assurance/inspection division.

RITES is a Miniratna Schedule 'A' Central Public Sector Undertaking under the Ministry of Railways.