New Delhi: IRCTC, Indian Railways’ tourist and catering business, declared a net profit of Rs 82 crore for the June quarter on Thursday. The firm reported a loss of Rs 24 crore the previous year and a profit of Rs 103 crore in the March quarter.
Revenue from operations increased 85.4 percent to Rs 243 crore, up from Rs 131 crore in the previous quarter.
Furthermore, the IRCTC board of directors has accepted a proposal to divide one share with a face value of Rs 10 into five equity shares with a face value of Rs 2. This is subject to the Ministry of Railway’s clearance.
According to the firm, this is being done to improve capital market liquidity, broaden the shareholder base, and make shares more accessible to small investors.
The stock rose about 3.6 percent after the stock split decision was announced, from a low of Rs 2,605 in morning trade to an all-time high of Rs 2,728. On the NSE, the stock was last trading 4.7 percent higher at Rs 2,693.
Catering income decreased 37% year on year to Rs 56 crore from Rs 89 crore the previous year.
Revenues from internet tickets increased by more than 300 percent to Rs 149 crore, while tourist earnings more than quadrupled to Rs 7 crore.