RITES Q4 Results: Railway PSU stock gives up gains after margin contraction, profit drop

Shares of RITES Ltd. fell after the company reported its fourth quarter earnings on Tuesday, May 19.

Its earnings for the January to March period were largely weak. Barring revenue, the railway PSU witnessed a decline across all parameters.

The company's net profit came in at ₹130 crore, down 2.3% from the previous year's ₹133 crore.

Revenue for the March quarter increased by 27.6% to ₹768.3 crore from ₹602.3 crore in the fourth quarter of the previous year.

The company's earnings before interest, tax, depreciation and amortization (EBITDA) declined 9.2% to ₹168.3 crore from ₹185.4 crore last year.

EBITDA margins contracted by nearly 900 basis points to 21.91% from 30.78% in the year-ago period.

The company's board of directors also recommended a final dividend of ₹2.75 per share on 48.06 crore equity shares of face value each for the financial year 2026. The same is subject to shareholder approval at its upcoming 52nd Annual General Meeting. The dividend will be paid within 30 days of declaration, it said in an exchange filing.

Shares of RITES gave up gains to trade 1% lower after the results announcement at ₹205.2. The stock is down 6% in the last one month and nearly 16% so far in 2026.

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