RITES LIMITED

Management reported a positive performance for Q1 FY27, highlighting a year-on-year growth of 9-10% in revenue and an 8% increase in the bottom line. The company attributed this growth to a high order book from the previous year, which has begun generating revenue. Management noted that revenue recognition for export orders, particularly from Bangladesh, would commence in Q2 due to the nature of the delivery process. The total order book stood at INR 9,450 crores, with a goal to reach INR 10,000 crores. Management emphasized the importance of maintaining EBITDA margins above 20% and PAT margins above 15%. They also discussed the impact of competitive bidding on margins and the increase in employee costs due to hiring and potential pay revisions. Overall, management expressed confidence in achieving substantial growth for the fiscal year.

Management expressed confidence in growth and performance while addressing challenges.