Railway company RITES to expand global footprint

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₹1,200 crore to supply coaches and locos to Bangladesh and Mozambique, RITES is now bidding for tenders for rolling stock supplies, consultancy operations and quality assurance businesses across regions, Mithal said.A few large projects are expected to land in FY25 helping it scale export operations.“We started FY24 with an export order book of less than ₹100 crore as no fresh orders were received for past four years. The Bangladesh and Mozambique order has come at the right time and given us confidence to win more orders even in competitively bid global tenders.

So, we have placed our bids in various markets for export orders and are hopeful of bagging more global projects this year," Mithal said.“Export orders along with diversification of the quality assurance business where we have secured more non railway orders (55% now), have placed RITES on the right track which the company intends to capitalise in the current financial year," he added.RITES has reported standalone revenue of ₹2,312 crore in FY24, down 8% from ₹2,519 crore in the previous year. The share of export revenue in this is negligible ( ₹100) as the company did not secure fresh orders.“The revenue from Bangladesh and Mozambique orders will start flowing from third quarter of this fiscal boosting company’s export earnings.

We are targeting exports share in our total revenue to be around 20-25% level and this should be achieved by FY26," Mithal said.Apart from rolling stock exports, RITES also proposes to expand its high-margin international project consultancy operations to expand its share in total consultancy revenues from the present 12% to over 20 %. In this regard, the company is looking for projects both in the neighborhood, including Sri Lanka,