RailTel Reports Q2 Profit Drop and Declares Interim Dividend of ₹1
RailTel Corporation announces a 9.9% decline in net profit for Q2 FY27, alongside a ₹1 interim dividend for shareholders.
RailTel's consolidated net profit fell to ₹68.56 crore in Q2 FY27.
The company approved an interim dividend of ₹1 per share, with a record date of October 30, 2026.
RailTel's revenue from operations increased by 20.5% to ₹1,146.14 crore compared to the previous year.
RailTel Corporation of India, a Navratna PSU, reported a 9.9% decrease in its consolidated net profit, which stood at ₹68.56 crore for the quarter ending September 30, 2026, down from ₹76.07 crore in the same quarter last year. Despite the profit decline, the company experienced a significant 20.5% rise in revenue from operations, reaching ₹1,146.14 crore compared to ₹951.36 crore in the previous year's quarter.
In addition to its financial results, RailTel's board has declared an interim dividend of ₹1 per share for the fiscal year 2026-27. This dividend represents 10% of the paid-up capital. The record date for shareholders to be eligible for this dividend is set for October 30, 2026, with payments scheduled to be made on November 20, 2026.
The company's total income for the July-September quarter increased to ₹1,149.06 crore, up from ₹965.74 crore a year earlier. However, total expenses also rose, climbing to ₹1,024.59 crore from ₹844.31 crore in the previous year. Profit before tax decreased to ₹92.30 crore, down from ₹105.30 crore in the same quarter last year.
RailTel's performance in the first half of FY27 shows a mixed picture; net profits fell to ₹134.34 crore, compared to ₹142.17 crore in the previous year. Nonetheless, revenue from operations surged to ₹2,039.41 crore, up from ₹1,695.17 crore in the first half of FY26. The telecom services segment reported revenue growth, reaching ₹396.94 crore, while project work services revenue also increased significantly.
Looking ahead, RailTel has received a ₹20 crore order from Munitions India Limited to establish a Data Center and Disaster Recovery Center for the Q-Shakti project, which is expected to last six years with a possible three-year extension. The company aims to leverage this project to enhance its operational capabilities and financial performance in the coming quarters.
