IRCON International bags ₹254 crore KAVACH contract from South Western Railway

State-run IRCON International Ltd on Tuesday (May 20) said it has secured a ₹253.6 crore contract from South Western Railway for the implementation of KAVACH, an indigenous train collision avoidance system, across 778 route kilometers in the Bengaluru and Mysuru divisions.

The scope of the work includes survey, design, supply, installation, testing, and commissioning of KAVACH equipment along with associated works. The project is expected to be executed within 18 months from the date of issuance of the Letter of Acceptance (LOA).

Ircon International reported a 3.8% year-on-year (YoY) decline in net profit at ₹246.8 crore for the fourth quarter that ended March 31, 2024. In the corresponding quarter, Ircon International posted a net profit of ₹256.5 crore, the company said in a regulatory filing.
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The company’s revenue from operations fell 1% to ₹3,742.7 crore versus ₹3,780.7 crore in the corresponding period of the preceding fiscal. At the operating level, EBITDA dipped 56.3% to ₹286.3 crore in the fourth quarter of this fiscal over ₹183.2 crore in the year-ago period.

The EBITDA margin stood at 7.7% in the reporting quarter compared to 4.9% in the fourth quarter of the previous fiscal.  Shares of Ircon International Ltd ended at ₹188.30, down by ₹9.10, or 4.61%, on the BSE.

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