Shares of Titagarh Rail Systems soared high and hit a 52-week high of Rs 1,046.50 on 21 November after the company formed a strategic partnership with ABB India for the supply of propulsion systems for metro rolling stock projects in India.
As a part of the partnership agreement, the company will purchase ABB propulsion systems, including auxiliary converters, traction converters, TCMS software, and traction motors.
The agreement also includes securing the production licence and manufacturing rights for traction motors and the complete transfer of technology of the GoA 4 (driverless metro)TCMS software from ABB.
Edgar Keller, president of traction business at ABB India, said, “This strategic partnership with Titagarh will provide the strong foundation to enter and expand our footprint in this key market, while also supporting the efforts to make rail transportation in India sustainable through our energy efficient technology, fully produced in India.”
In its quarterly report for the July-September quarter, the company posted a 46.4% year-on-year (YoY) growth in its consolidated net profit to Rs 70.59 crore for the quarter from Rs 48.2 crore reported in the same quarter of the previous fiscal year.
The railway company reported its revenue from operation for the quarter under review at Rs 935.45 crore, which is a 54% YoY increase from Rs 607.11 crore reported in the year-ago quarter.
At 12:55 pm, the shares of Titagarh Rail were trading 6.84% higher at Rs 1,000 on NSE.