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RailTel Corporation of India Q2 FY27 results: net profit down 9.9% to ₹68.56 crore, revenue up 20.5%
RailTel Corporation of India reported standalone Q2 FY27 revenue of ₹1,146 crore, up 20.5% from a year earlier, while net profit declined 9.9% to ₹68.56 crore. EBITDA rose 13.9% to ₹176 crore, but the margin narrowed to 15.4% from 16.2%, and basic EPS fell to ₹2.14 from ₹2.37.
Key points
- Revenue rose to ₹1,146 crore in Q2 FY27 from ₹951.36 crore in Q2 FY26, an increase of 20.5%.
- EBITDA increased to ₹176 crore from ₹154.48 crore, while EBITDA margin declined by 0.8 percentage points to 15.4%.
- Net profit fell to ₹68.56 crore from ₹76.07 crore, and basic EPS declined to ₹2.14 from ₹2.37.
- The exceptional charge increased to ₹32.17 crore from ₹16.13 crore, while other income fell to ₹2.92 crore from ₹14.38 crore.
- The board declared an interim dividend of ₹1 per share, with 30 October 2026 as the record date.
How did RailTel Corporation of India perform in Q2 FY27?
RailTel Corporation of India reported standalone revenue from operations of ₹1,146 crore in Q2 FY27, up ₹194.78 crore or 20.5% from ₹951.36 crore in Q2 FY26. Against Q1 FY27, revenue rose ₹252.87 crore or 28.3% from ₹893.27 crore. Total income was ₹1,149.06 crore, up 19.0% year on year and 26.3% quarter on quarter.
EBITDA increased ₹21.52 crore or 13.9% year on year to ₹176 crore, but margin fell 0.8 percentage points to 15.4% from 16.2%. Sequentially, EBITDA rose 33.8% to ₹176 crore from ₹131.57 crore and margin improved 0.7 percentage points from 14.7%.
Profit before tax fell ₹13 crore or 12.3% year on year to ₹92.30 crore from ₹105.30 crore, although it rose 3.2% from ₹89.44 crore in Q1 FY27. Net profit declined ₹7.51 crore or 9.9% to ₹68.56 crore from ₹76.07 crore, but increased 4.2% from ₹65.78 crore. Basic EPS was ₹2.14, down from ₹2.37 year on year and up from ₹2.05 sequentially.
| ₹ crore | Q2 FY27 | Q1 FY27 | Q2 FY26 | YoY | QoQ |
|---|---|---|---|---|---|
| Revenue from operations | 1,146 | 893.27 | 951.36 | +20.5% | +28.3% |
| Other income | 2.92 | 16.33 | 14.38 | −79.7% | −82.1% |
| Total expenses | 1,025 | 813.12 | 844.31 | +21.4% | +26.0% |
| EBITDA | 176 | 131.57 | 154.48 | +13.9% | +33.8% |
| EBITDA margin | 15.4% | 14.7% | 16.2% | −0.8 pp | +0.7 pp |
| Profit before tax | 92.30 | 89.44 | 105.30 | −12.3% | +3.2% |
| Tax | 23.74 | 23.66 | 29.23 | −18.8% | +0.3% |
| Net profit | 68.56 | 65.78 | 76.07 | −9.9% | +4.2% |
| EPS (₹) | 2.14 | 2.05 | 2.37 | −9.7% | +4.4% |
EBITDA here is revenue from operations less operating costs (total expenses excluding finance costs and depreciation): before other income and exceptional items. Growth is shown only when both figures are positive. Source: Company's results filing (XBRL).
What changed in RailTel Corporation of India's costs and profit?
Total expenses rose ₹180.28 crore or 21.4% year on year to ₹1,025 crore, exceeding the 20.5% increase in revenue. Other expenses increased ₹168.04 crore or 22.6% to ₹910.09 crore, depreciation rose ₹6.10 crore or 13.0% to ₹52.97 crore, employee benefit expense rose ₹5.22 crore or 9.5% to ₹60.05 crore, and finance costs rose ₹0.92 crore to ₹1.48 crore.
Other income fell ₹11.46 crore or 79.7% to ₹2.92 crore from ₹14.38 crore. The exceptional charge increased to ₹32.17 crore from ₹16.13 crore. Tax expense was lower by ₹5.49 crore or 18.8% at ₹23.74 crore, compared with ₹29.23 crore in Q2 FY26.
Against Q1 FY27, other expenses rose ₹208.61 crore or 29.7% and depreciation increased ₹2.58 crore, while employee benefit expense fell ₹0.17 crore. Other income declined ₹13.41 crore or 82.1% to ₹2.92 crore, and the exceptional charge rose from ₹7.04 crore to ₹32.17 crore. Tax expense was broadly unchanged at ₹23.74 crore, up ₹0.08 crore.
| ₹ crore | Q2 FY27 | Q2 FY26 | Change | Change % |
|---|---|---|---|---|
| Cost of materials | 0 | 0 | 0 | |
| Employee cost | 60.05 | 54.83 | +5.22 | +9.5% |
| Finance costs | 1.48 | 0.56 | +0.92 | +164.3% |
| Depreciation | 52.97 | 46.87 | +6.10 | +13.0% |
| Other expenses | 910.09 | 742.05 | +168.04 | +22.6% |
| Total expenses | 1,025 | 844.31 | +180.28 | +21.4% |
| Other income | 2.92 | 14.38 | −11.46 | −79.7% |
| Tax | 23.74 | 29.23 | −5.49 | −18.8% |
| Exceptional items | −32.17 (charge) | −16.13 (charge) |
Source: Company's results filing (XBRL).
What do the balance sheet and cash flow show?
Total assets increased to ₹5,985.82 crore at 30 September 2026 from ₹5,830 crore at 31 March 2026. Total equity rose to ₹2,359.4 crore from ₹2,261.61 crore, trade receivables increased to ₹2,254.25 crore from ₹2,052.95 crore, and trade payables rose to ₹1,788.15 crore from ₹1,674.17 crore. The company reported no borrowings at either date, while cash declined to ₹217.58 crore from ₹397.46 crore.
In H1 FY27, operating cash flow was negative ₹42.29 crore, compared with negative ₹304.49 crore in H1 FY26. Investing cash flow was negative ₹36.99 crore against positive ₹20.65 crore, while financing cash flow was negative ₹100.60 crore compared with negative ₹62.08 crore. Capital expenditure was ₹160.04 crore in H1 FY27, against negative ₹128.22 crore in the earlier period.
| ₹ crore | As of 30 September 2026 | As of 31 March 2026 |
|---|---|---|
| Total assets | 5,986 | 5,830 |
| Total equity | 2,359 | 2,262 |
| Borrowings | 0 | 0 |
| Cash and equivalents | 217.58 | 397.46 |
| Inventories | 0 | 0 |
| Trade receivables | 2,254 | 2,053 |
Source: Company's results filing (XBRL).
| ₹ crore | H1 FY27 | H1 FY26 |
|---|---|---|
| Cash from operations | −42.29 | −304.49 |
| Cash from investing | −36.99 | 20.65 |
| Cash from financing | −100.60 | −62.08 |
| Capital expenditure | 160.04 | −128.22 |
Source: Company's results filing (XBRL).
How has RailTel Corporation of India done over the last 8 quarters?
Revenue rose year on year in each of the last eight quarters. It reached its highest level in the series at ₹1,668.86 crore in Q4 FY26 and its lowest at ₹743.81 crore in Q1 FY26, before increasing to ₹1,146.14 crore in Q2 FY27.
Profit after tax peaked at ₹141.75 crore in Q4 FY26 and was lowest at ₹62.40 crore in Q3 FY26. It fell to ₹65.78 crore in Q1 FY27 and then rose to ₹68.56 crore in Q2 FY27. EBITDA margin was highest at 16.2% in Q2 FY26, fell to 13.7% in Q4 FY25, and recovered to 15.4% in the latest quarter.
Which businesses drove the quarter?
Telecom Services reported revenue of ₹396.94 crore in Q2 FY27, up 8.0% from ₹367.53 crore in Q2 FY26. Segment EBIT rose to ₹112.28 crore from ₹102.47 crore, and the reported EBIT margin was 28.3%.
Project Work Services reported revenue of ₹749.2 crore, up 28.3% from ₹583.83 crore in the year-ago quarter. Segment EBIT increased to ₹27.08 crore from ₹22.90 crore, while the reported EBIT margin was 3.6%.
| Segment | Revenue | Revenue YoY | EBIT | EBIT margin |
|---|---|---|---|---|
| Telecom Services | 396.94 | +8.0% | 112.28 | 28.3% |
| Project Work Services | 749.20 | +28.3% | 27.08 | 3.6% |
Source: Company's results filing (XBRL segment data).
What else did the company announce?
The board approved the unaudited financial results for the quarter and half-year ended 30 September 2026, following a review by the Audit Committee. The statutory auditor issued a limited review report, and the filing said nothing came to its attention suggesting the statements were not prepared under the applicable accounting standards or contained material misstatements.
The company declared an interim dividend at 10% of paid-up share capital, equal to ₹1 per share. The board fixed 30 October 2026 as the record date and said payment would be made on 20 November 2026. It also approved disclosure of related-party transactions for the half-year ended 30 September 2026.
What did RailTel Corporation of India's management say?
Management identified the ₹32 crore expected-credit-loss charge, reflecting delays beyond normal levels in government receivables, as unusual. It also said RailWire and ISP revenue remained flat amid competitive pressure, while National Long Distance growth offset that performance. Data-centre margin was expected around 10%, with 8-10% described as the bottom range.
Asked why revenue growth exceeded profit growth in the quarter, management said the quarter did not provide a complete picture because of an aberration. Sanjai Kumar said: “I always emphasise on this point, that quarterly results generally, sometimes, like in Q2 also, they don't give the clear picture because of some or the other aberration.” On project execution, he said: “We are still hopeful that we will be able to meet those numbers, what we anticipated in the beginning of the financial year.”
How did RailTel Corporation of India shares react?
The stock was unchanged five minutes after the filing appeared, then fell 0.8% after 15 minutes and 0.9% after 30 minutes. It closed 2.6% below its pre-results close on the reaction day and was down 0.4% from that close by the next day's close. By the fifth session, it was up 2.1% from the pre-results close.
Earlier results-day reactions were mixed: the stock fell 3.3% on 30 July 2026 and 1.2% on 2 February 2026, but rose 4.9% on 30 April 2026 and 1.9% on 28 July 2025. The largest move among the listed earlier reactions was a 7.3% rise on 1 May 2025.
| After the filing | Stock | Telecom - Services median |
|---|---|---|
| 5 minutes | +0.0% | |
| 15 minutes | −0.8% | |
| 30 minutes | −0.9% | |
| Reaction day | −2.6% | +0.4% |
| Next day | −0.4% | +2.1% |
| 5 days | +2.1% | +1.4% |
Minutes are measured from the price when the filing appeared; days from the previous close. Source: MarketPing price-reaction measurement.
| Results filed on | Stock on the reaction day |
|---|---|
| 30 July 2026 | −3.3% |
| 30 April 2026 | +4.9% |
| 2 February 2026 | −1.2% |
| 29 October 2025 | −1.7% |
| 28 July 2025 | +1.9% |
| 1 May 2025 | +7.3% |
| 27 January 2025 | −3.3% |
| 28 October 2024 | +0.4% |
Source: MarketPing price-reaction measurement.
Quick answers
What was RailTel Corporation of India's revenue in Q2 FY27?
Revenue from operations was ₹1,146 crore, up 20.5% from ₹951.36 crore in Q2 FY26 (standalone).
Did RailTel Corporation of India make a profit in Q2 FY27?
Yes. Net profit was ₹68.56 crore, against a net profit of ₹76.07 crore in Q2 FY26.
What was RailTel Corporation of India's EPS in Q2 FY27?
Basic earnings per share were ₹2.14, against ₹2.37 in Q2 FY26.
How did RailTel Corporation of India shares react to the Q2 FY27 results?
On the reaction day the stock moved −2.6% from the previous close; the median Telecom - Services stock moved +0.4%.
When did RailTel Corporation of India announce its Q2 FY27 results?
On 25 October 2026, in a filing to the NSE.
Sources
- Board Meeting Intimation for Considering Un-Audited Financial Results For The Quarter And Half-Year Ended On 30Th September, 2026 And To Declare Interim Dividend, If Any, For The Financial Year 2026-27 (BSE, 21 October 2026) · PDF
- Outcome of Board Meeting (NSE, 25 October 2026) · PDF
- The earnings call (3 November 2026)
How this was written: every figure in the tables and charts is calculated from the company’s filed results (XBRL) and MarketPing’s price measurements. The text is drafted with AI from those figures and the filings, and a checker removes any sentence carrying a number it cannot trace to them. How we write these.
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