Shares of Railtel Corporation of India Ltd plummeted 10% on 12 February despite the company announcing securing a work order worth Rs 18 crore from the Ministry of Defence.
In its regulatory filing, the company announced that it has received an order worth Rs 18.21 crore for laying OFC cable and maintenance from the Ministry of Defence for a period of three years.
In DWDM Network the company has a pan India presence and has more than 200 Optical Add/Drop Multiplexer (OADM) nodes. The network is capable of providing various services like 10G, 100G, and 200G. The network will cover all major cities of INdia and will provide high availability of services.
Furthermore, the company is also planning to invest in the upgrade of the backbone network, access network, CNoC, and 100G to 800G network at strategic sites by purchasing routers,charges, power plants, and cutting-edge technology.
In its quarterly earnings, the company reported a 93% year-on-year increase in its net profit to Rs 62 crore for the quarter under review from Rs 32 crore reported in the same quarter last year.
The revenue from operations for the quarter stood at Rs 668 crore, marking a 47% YoY growth from Rs 454 crore reported in the same quarter of the previous fiscal year.
The company has a large network in the market that is a crucial value proposition in providing services to all its clients.
At 3:30 pm, the shares of Railtel Corporation closed 8.78% lower at Rs 362 on NSE.