RITES Share Price Surges on ₹28.5 Crore Order from Gujarat Urban Development Company

RITES Ltd has received a Letter of Intent from Gujarat Urban Development Company Limited for a project worth ₹28.5 crore, excluding GST. The contract involves Third Party Inspection (TPI) services for urban infrastructure work across Gujarat. The project includes water supply systems, underground drainage, and sewage treatment plants.

Execution and Scheme Coverage

The project will be carried out over a period of 60 months. It covers infrastructure developments under the AMRUT 2.0 and SJMMSVY schemes. These schemes are implemented across urban local bodies (ULBs) in the state, focusing on basic municipal services.

The order has been awarded by a domestic entity. RITES has confirmed that this contract is not a related party transaction, and no promoter or group company has any interest in the awarding entity. The order was disclosed under Regulation 30 of SEBI’s Listing Obligations.

RITES Q4FY25 Results

RITES reported a net profit of ₹141 crore for the fourth quarter, up 3.4% from the previous year. However, the company’s revenue for the quarter declined by 4.3%, settling at ₹615 crore. EBITDA stood at ₹185.5 crore, marking a 5.4% increase from the previous year.

EBITDA margins expanded by 564 basis points to reach 30%. The company has proposed a final dividend of ₹2.65 per share for FY25. The dividend is subject to shareholder approval at the upcoming annual general meeting. The record date for this dividend has not been announced yet.

Read more: RITES and HCL Join Forces to Secure India’s Critical Mineral Future!

RITES Share Price Performance

As of 09:30 AM on June 25, 2025, RITES share price was trading at ₹279.80, a 1.41% increase, with a 0.43% increase over the past 6 months and a 19.80% decline over the past year.

Conclusion

The ₹28.5 crore contract adds to RITES' ongoing inspection work in urban infrastructure. The project is scheduled to run over the next 5 years and will cover municipal services across Gujarat.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.