Engineering services firm RITES Ltd announced on Friday, 25 July, that it has received a Letter of Intent from Bharat Electronics Limited (BEL) for a Rs 1.77 billion contract, excluding GST, to provide design and project management consultancy (PMC) services, along with construction of a mass manufacturing facility at BEL’s Palasamudram unit in Andhra Pradesh. The project, which includes PMC fees, will be executed over 24 months on a cost-plus basis.

This domestic contract awarded by BEL encompasses comprehensive responsibilities, including end-to-end design, PMC oversight, and facility development for its EM SBU.

Fourth Quarter Results

RITES reported a 3.4 per cent year-on-year rise in net profit for the quarter to Rs 141 crore. However, revenue declined by 4.3 per cent to Rs 615 crore, down from Rs 643 crore in the corresponding period last year.

Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) rose by 5.4 per cent to Rs 185.5 crore, while EBITDA margins improved by 564 basis points to 30 per cent.

The company also declared a final dividend of Rs 2.65 per share for FY25, pending approval at its 51st Annual General Meeting. If approved, the dividend will be paid within 30 days of the declaration.

Shares of RITES Ltd closed at Rs 264.60 on the BSE, down Rs 9.00 or 3.29 per cent.

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