ITI Share Price Rallies Over 18% in Two Days as Quarterly Loss Narrows Sharply

State-run telecom firm ITI Limited has seen a strong rebound in its share price, rising more than 18% over the past two trading sessions, as investors reacted positively to a sharp narrowing of its quarterly losses. On May 29, 2025, the ITI share price rose 7.6% to close at ₹364.50 on the BSE, marking a notable recovery for the PSU telecom company.

Quarterly Results: Net Loss Narrows Significantly

In the March 2025 quarter, ITI posted a net loss of just ₹4.4 crore, a dramatic improvement from the ₹238.8 crore loss recorded in the same period last year. This turnaround was primarily driven by an exceptional gain of ₹62.41 crore, which helped cushion the bottom line.

This is the company’s closest approach to profitability since March 2022, when it had reported a net profit of ₹356 crore.

Strong Revenue Growth and EBITDA Recovery

The company's revenue surged 74% year-on-year to ₹1,045.7 crore, up from ₹601 crore in the year-ago quarter. This strong growth shows robust execution in its core projects and contracts.

Even on the operational front, EBITDA losses reduced significantly to ₹28.2 crore, compared to a much steeper ₹173.8 crore loss in the same period last year. While still in the red, this substantial reduction signals improved cost controls and operational efficiency.

ITI Shareholding Pattern: A Tightly Held PSU Stock

Despite the recent rally, ITI remains a tightly held PSU. As of the March 2025 quarter, the Government of India holds a 90% stake in the company. Additionally, the Special National Investment Fund (SNIF) owns another 7.9%. This leaves a very limited free float for public investors, which can amplify stock price movements when volumes spike.

Historic Rise in Share Price

Over the past three months, ITI shares have climbed 46%, reflecting increasing investor interest and improved financial performance. However, they are still down 6% year-to-date, largely due to earlier volatility and concerns about the company’s profitability.

As of the latest market session, ITI’s market capitalisation stands at ₹34,673 crore, placing it among the notable mid-sized PSUs in India.

Company Overview: India's First PSU in Telecom

Founded in 1948, ITI Limited was India’s first public sector undertaking in the telecom sector. It has a long-standing presence in the manufacturing of telecom equipment and infrastructure.

The company operates manufacturing facilities in:

·       Bengaluru

·       Naini

·       Rae Bareli

·       Mankapur

·       Palakkad

It also has an R&D centre in Bengaluru and runs 11 Marketing, Services & Projects (MSP) centres across major cities like Mumbai, Chennai, Hyderabad, Kolkata, Delhi, and Chandigarh.

ITI Share Price Performance

On May 29, 2025, the ITI share price opened at ₹350.15, up from the previous close of ₹340.15. By the end of the trading session, the stock had climbed further to ₹364.50 on the NSE.

The stock’s 52-week high of ₹592.70 was recorded on January 7, 2025, while its 52-week low of ₹210.00 was seen on October 25, 2024.

Conclusion

The recent rally in ITI shares highlights the market’s renewed confidence in the company's turnaround story. While the firm is yet to return to consistent profitability, the narrowing of losses, strong revenue growth, and operational improvements are promising signs. With a rich legacy, strategic government backing, and modernisation efforts in place, ITI appears well-positioned for a potential revival in India's fast-evolving telecom sector.

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