RailTel Corporation of India Ltd, a Navratna PSU and leading ICT service provider, has declared a second interim dividend of 10% (₹1 per share). The record date is April 2, 2025, and the payment is scheduled for April 9, 2025. The company’s stock fell nearly 2% on the BSE, while analysts caution about its resistance level at ₹299.
RailTel Corporation of India Ltd, a Navratna public sector enterprise (PSU) under the Ministry of Railways, has announced a second interim dividend of 10% on its paid-up share capital, translating to ₹1 per share. The record date for this dividend is April 2, 2025, with the payout scheduled for April 9, 2025.
RailTel is one of India’s largest neutral telecom infrastructure providers, operating a vast pan-India optic fiber network that connects key cities and rural areas. The company plays a significant role in providing ICT services across the nation.
Dividend Details and Stock Performance
RailTel has distributed nine dividends since March 31, 2021. Over the past year, it has announced a total equity dividend of ₹2.85 per share. With the current market price at ₹289.75, the dividend yield stands at 0.98%.
Following the announcement, RailTel’s share price dipped nearly 2%, opening at ₹294.05 on the Bombay Stock Exchange (BSE) and touching an intraday low of ₹288.25.
Stock Analysis and Market Outlook
According to Anshul Jain, Head of Research at Lakshmishree Investment and Securities, RailTel’s stock is facing strong resistance at ₹299. Any rally toward ₹299–310 should be seen as an exit opportunity, given the downtrend with a possible target of ₹249. Moving averages indicate a bearish outlook, with selling pressure expected at resistance levels.
Financial Performance in Q3FY25
For the December quarter of FY25, RailTel reported a 5% increase in net profit, reaching ₹65 crore compared to ₹62 crore in the same period last year. Revenue from operations grew by 15% to ₹768 crore from ₹668 crore in Q3FY24.
Despite higher revenue, the company’s expenses totaled ₹690 crore for the quarter, marking a decline from ₹755 crore in Q2FY25 but an increase from ₹580 crore in the corresponding quarter last year.
RailTel continues to be a key player in India’s telecom infrastructure sector, leveraging its extensive optic fiber network. However, with a bearish stock outlook and ongoing market volatility, investors should assess their positions carefully.
