IRCTC, the catering and tourism arm of Indian Railways on Tuesday reported a consolidated net profit of ₹208 crore for the December quarter, up 166% from ₹78 crore reported in the last year period.
The steep surge in net profit is mainly led by contribution from all the segments and low base of last year. Coronavirus-related restrictions have meant that, IRCTC operations have been muted with limited train operations and public travel.
On a sequential basis, net profit after tax rose 32% from ₹158 crore clocked in the September quarter.
Revenue from operations has also soared 141% to ₹540 crore for the December quarter as against ₹224 crore in the corresponding quarter of last year.
The company’s board has declared an interim dividend of ₹2 per share each for the financial year 2021-22.
On Tuesday, IRCTC shares rose 0.38% to close at ₹838.75 apiece on NSE.
The board has fixed Friday, 18 February, as record date for the purpose of payment of interim dividend of the financial year 2021-22.
The company’s EBTIDA (earnings before interest, tax, depreciation and amortisation) surged 195% to ₹279 crore for the reporting quarter.
Segment wise, revenue from catering services surged by 117% to ₹104 crore during the third quarter under review. The same was ₹48 crore in the corresponding quarter of last year.
The revenues from internet ticketing business have also more than doubled, rising 118% to ₹312 crore in the December quarter as compared to ₹143 crore in the year ago period.
Meanwhile, tourism segment revenues zoomed by a massive 353% to ₹68 crore in the third quarter. The same was a meagre ₹15 crore in the December quarter of last year.
The public sector company’s other income fell to ₹16 crore during the third quarter as compared to ₹21 crore in the corresponding quarter of last year.
According to market experts, the recent Budget announcement on additional Vande Bharat trains is going to fuel IRCTC share price in long term.
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