Rs 8,877 crore order book: Transport infrastructure consultant signs MoU with NABARD Consultancy Services Pvt Ltd

RITES Ltd., a prominent transport infrastructure consultancy, has formalised a strategic partnership with NABARD Consultancy Services Pvt. Ltd. (NABCONS), a wholly-owned subsidiary of NABARD, through a new Memorandum of Understanding. This collaboration is set to drive inclusive and sustainable growth by combining NABCONS's deep expertise in agriculture, rural development, natural resource management, and capacity building with RITES's proven strengths in infrastructure planning, engineering, and execution across various sectors, including transport and urban development. The partnership will focus on delivering comprehensive consultancy and project management services for a wide array of initiatives, such as rural and urban infrastructure, green mobility, agri-logistics, climate-resilient development, digital public infrastructure, smart cities, and multimodal transport solutions. They also plan to jointly pursue opportunities in water and irrigation, third-party inspection, and AI/IT-enabled infrastructure services, while actively exploring international projects funded by multilateral development banks.

Earlier, the company secured a significant Letter of Intent from Bharat Electronics Limited (BEL) for a project in Palasamudram, Andhra Pradesh. The contract, valued at an estimated Rs 177.225 Crore (excluding GST), involves providing Design, Project Management Consultancy (PMC) Services, and Construction for a new Mass Manufacturing Facility for BEL's EM SBU. This domestic order is on a cost-plus basis and is slated for completion within 24 months from the agreement date.

About the Company

Established in 1974, RITES Limited is a leading public sector player in India's transport consultancy and engineering, offering diversified services from locomotive and train manufacturing to consultancy, exports, leasing and turnkey projects across railways, metros, airports, ports, highways, ropeways and urban infrastructure. As India's export arm for rolling stock (except Thailand, Malaysia, and Indonesia), it boasts expertise in various gauges and caters to diverse transportation needs.

The stock has a 52-week high of Rs 383.85 per share & a 52-week low of Rs 192.30 per share and has been maintaining a healthy dividend pay-out of 98 per cent. The company has a market cap of over Rs 12,000 crore and as of March 31, 2025, its order book stands at Rs 8,877 crore. The stock has an ROE of 15 per cent and an ROCE of 21 per cent. The stock is up by 35.5 per cent from its 52-week low of Rs 192.30 per share.

Disclaimer: The article is for informational purposes only and not investment advice.