Nirman Share Brokers

irctc share price

IRCTC May 02 2022

ACCOUNT OPENING

With the announcement of the Union Budget 2022, the share prices of the Indian Railways Catering and Tourism Corporation, or IRCTC, skyrocketed. With the introduction of a pandemic-induced lockdown, the IRCTC share price has been steadily declining. On the other hand, the budget completely transformed the game, and the stock prices soared. If you are new to the stock market and want to learn how to invest in it, we have got you covered with our comprehensive guide to IRCTC stock prices

IRCTC Share Prices Today

The IRCTC Share Price today can be depicted through the overall performance of the day across the stock market.

Performance

Today’s Low: ₹830.00

Today’s High: ₹868.55

Previous Close: ₹855.75

Opening Price: ₹858.75

Volume: 41,19,747

Value: 344 Crore

Fundamentals

Market Cap: ₹68,460 Cr

Price-Earnings (P/E) Ratio: 360.50

Profit-to-Book (P/B) Ratio: 46.67

ROE: 13.66%

Book Value: 20.39

After looking into the overall Indian Railway Share Price, let’s take a look at the IRCTC share price of NSE and BSE.

NSE Live IRCTC Stock Price: 835.60

Previous Close: 855.75

Open Price: 858.75

Bid Price (Quantity): 835.60 (269)

Offer Price (Quantity): 834.90 (202)

BSE Live IRCTC Stock Price: 835.65

Previous Close: 855.80

Open Price: 857.00

Bid Price (Quantity): 834.95 (2)

Offer Price (Quantity): 835.30 (46)

Indian Railway Catering and Tourism Corporation Limited: Overview

The Indian Railways Catering and Tourism Corporation (IRCTC) was founded on September 27, 1999, as a public sector business wholly owned by the Indian Railways. It is the sole company that is authorized to offer required services to the Indian Railways, such as online ticketing and catering services. Additionally, it makes drinking water available for the passengers during the entire journey and at stations. It was classified as a Miniratna public corporation in May 2008, which gave it some financial autonomy.

The company is the only one of its kind in India, and it works only through its official government website. Aside from food catering, the company has ventured into other markets, such as inexpensive hotels and e-catering executive lounges. In 2019, the Indian Railway Catering and Tourism Corporation Limited was listed on the NSE - National Stock Exchange, reducing the Government of India`s holding to 87 percent and allowing the remaining shares to be traded publicly. The Government of India deprived another 20 percent in December 2020, bringing its total stake in the IRCTC to 67 percent.

IRCTC Carries Out Following Core Activities:

Catering and Hospitality
Ticketing (through internet medium)
Travel and Tourism
Rail Neer (packaged clean drinking water)

Primary Objectives

IRCTC revolves around the following key objectives:

To be the foremost easily operated organization for the customers.
Optimize available resources and put forward enhanced manpower productivity.
Availability of improved and integrated catering services within the organized railway sector
Boost business opportunities by increasing public-private partnerships.
Prosper high standards of top-notch management, business ethics, together with cost control estimates

At present, IRCTC Operates Through:

14 Neer Plants are located at Nangloi (Delhi), Danapur (Bihar), Palur (Tamil Nadu), Ambernath (Maharashtra), Amethi (Uttar Pradesh), Parassala (Tamil Nadu), Bilaspur (Chhattisgarh), Hapur (UP), Sanand (Gujarat), Mandideep (MP), Jagiroad (Assam), Maneri (MP), Nagpur (Maharashtra) as well as Sankrail (Kolkata).
Food catering takes place through eleven base kitchens. These kitchens are located in 1) Delhi 2) Howrah 3) Ahmedabad 4) Patna 5) Mumbai Central 6) Mumbai CST 7) Ballarshah 8) Nagpur 9) Balasore 10) Sealdah 11) Kharagpur.
The Zonal Offices are located in 1) New Delhi, 2) Mumbai, 3) Kolkata, 4) Chennai, and 5) Secunderabad.
IRCTC has 10 Regional Offices, which are located in 1) Lucknow, 2) Chandigarh, 3) Jaipur, 4) Bhopal, 5) Ahmadabad, 6) Guwahati, 7) Bhubaneswar, 8) Patna, 9) Ernakulam, 10) Bangalore.
There is only one IRCTC Internet Ticketing Office, which is located in New Delhi.
The IRCTC Tourism office is located in New Delhi.

Key Segments of IRCTC

Over the years, the Indian Railway Catering and Tourism Corporation has been immensely growing across all the segments. IRCTC has received numerous awards for its outstanding performance across the railway service sector.

The new standards were set when IRCTC was featured within the list of Fortune India Next 500 over the past few years. As per various esteemed market experts, the core business model of IRCTC is strong, which makes the venture highly profitable. All such entities make IRCTC a top-notch service provider for the railway industry.

IRCTC is well known for dealing in the following segments and the entire business revenue is derived only from these segments:

Online Ticketing Platform

IRCTC is an independent enterprise that is established for selling railway tickets via an official portal. The entire popularity of IRCTC can be derived from the fact that it is the one and only proprietor that is responsible for selling out railway tickets through online portals and is authorized by the Government of India.

Food Catering Services

Apart from ticketing services, IRCTC is known for the quality of catering services it offers to passengers. With the introduction of technology within the railway sector, passengers can now access the catering services through their mobile applications.

Budget Hotels & Lounges

Besides travel facilities, IRCTC offers low-budget hotels along with retiring rooms for passengers. This service is quite helpful when you are traveling between the connecting trains.

Packaged Drinking Water

IRCTC is the sole company that the Indian Government authorizes for distributing packaged drinking water in trains and railway stations. The brand name of packaged water delivered by IRCTC is Rail Neer.

Travel & Tourism

Besides the above-mentioned services, IRCTC is a key player in the travel and tourism sector too. To offer seamless travel and tourism services, IRCTC has connections with hotel bookings together with air ticket bookings.

Performance of IRCTC Across Various Sectors

IRCTC has set a benchmark with its peerless performance across various sectors. Below depicted are the key sectors covered by IRCTC:

Finance

As per industry experts, IRCTC is said to be a highly profitable venture. The revenue trends across the past decade reveal that IRCTC generates exorbitant as well as coherent revenue through its major segments. These segments are internet ticketing, catering, rail neer (drinking water), together with budget hotels.

Business Strategy

IRCTC across the railway sector enjoys a sole monopoly. The key reason is that IRCTC is the sole service provider when it comes to railway services.

Marketing

Because it is the only company in the railway service industry, there is no need to put forward additional public relations or even advertising for promotion or advertising purposes. IRCTC is performing well within the railway sector.

Generic

IRCTS is said to be the stalwart of the Indian railway industry. It is highly known for its incredible internet ticketing business, with years it has gained high popularity. In addition to the ticketing segment, it has also marked its presence across other key segments, including catering services, rail neer (drinking water), and tourism.

Milestones

In 2014, on 19th March, about 5,80,000 tickets were booked by passengers in a day.
In 2015, on 1st April, a new benchmark was set by IRCTC by booking 13,45,496 tickets in the entire day.
On 2nd April 2015, within a day, approximately 11,00,000 tickets were booked.
The inception of Tejas Express took place on 24th May 2017. The Tejas express was initiated to connect Mumbai, Chhatrapati Shivaji Terminus to Karmali and Goa.
Alternate Train Accommodation System Scheme, well known by the name of VIKALP was extended to offer benefits to Waitlisted Passengers. It came into effect from 1st April 2017 across all Mail as well as Express trains running across India.
To offer the utmost customer convenience, SMS service was initiated from 2017 onwards. This was to inform passengers about the train delay through text messages. Initially, the service was available only for Rajdhani Express, Shatabdi, Tejas Express, and Gatiman. However, from December 2017 onwards, this service was made available for all Jan Shatabdi together with Duronto and Garib Rath trains. By now, approximately 250 trains have access to this exceptional service.
The first semi-private train of India i.e, Tejas came into action on 4th October 2019. This runs between Lucknow and Delhi.
The next semi-private train started running between Mumbai and Ahmedabad from 17th January 2020 onwards.
A payment wallet was launched by IRCTC with the name of iMudra with the key objective of providing a seamless mechanism for booking railway tickets. Additionally, it offers the facility to pay, send and withdraw money.
The third semi-private train was started by IRCTC between Varanasi and Indore from 16th February 2020 onwards. It was inaugurated by PM Narendra Modi, the initiative of this semi-private train was to connect Lord Shiva’s 4 Jyotirlingas. This train was named “Kashi Mahakaal``.
Finally, on 31st December 2020, an e-Ticketing portal and mobile app were launched by IRCTC. The upgraded portal and mobile application allow passengers to book railway tickets with utmost ease with the seamless presence of a payment gateway.

Management of IRCTC

Name	Designation
Rajni Hasija	Chairman & Managing Director
Neeraj Sharma	Government Nominee Director
Ajit Kumar	Director - Finance
Vinay Srivastava	Government Nominee Director

IRCTC Company Location

Registered Address

11th Floor, Statesman House,

B-148, Barakhamba Road, Connaught Place,

New Delhi, 110001

Contact Details

Telephone Number: 011-23311263, 011-23311264

Fax: 011-23311259

Official Email: investors@irctc[dot]com

Official Website: http://www[dot]irctc[dot]com

Registrar Address and Contact Details

Alankit Assignment Ltd. 205-208

Anarkali Complex, Jhandewalan Extension

New Delhi, 110055

Telephone Number: 011-42541954, 42541234

Fax: 011-41543474

Official Website: http://www[dot]alankit[dot]com

Company Performance

To understand the overall company performance across 2020 and 2021, refer to the below- depicted table. It enlists quarterly results in crores.

Specifics	Sep-20	Dec-20	Mar-21	Jun-21	Sep-21
Net Sales	88.56 Cr	224.37 Cr	338.79 Cr	243.37 Cr	404.94 Cr
Total Expenditure	94.14 Cr	129.73 Cr	193.70 Cr	131.86 Cr	193.43 Cr
Operating Profit	-5.59 Cr	94.65 Cr	145.09 Cr	111.51 Cr	211.51 Cr
Other Income	20.17 Cr	20.86 Cr	19.46 Cr	14.57 Cr	16.12 Cr
Interest	1.33 Cr	1.40 Cr	3.74 Cr	3.78 Cr	2.12 Cr
Depreciation	8.94 Cr	9.62 Cr	18.73 Cr	11.23 Cr	11.82 Cr
Exceptional Items	42.37 Cr	-0.10 Cr	-2.88 Cr	0	0
Profit Before Tax	46.68 Cr	104.39 Cr	139.20 Cr	111.08 Cr	213.69 Cr
Tax	14.05 Cr	26.30 Cr	35.42 Cr	28.55 Cr	55.12 Cr
Profit After Tax	32.64 Cr	78.09 Cr	103.78 Cr	82.52 Cr	158.57 Cr
Adjusted EPS (INR)	0.41 Cr	0.98 Cr	1.30 Cr	1.03 Cr	1.98 Cr

IRCTC Listings and Indices

Key Dates
Incorporation	27th September, 1999
Public Issuance	3rd September, 2019
Month of Year Ending	March
AGM Month	October
Start Date for Book Closure	21st October, 2020
End Date for Book Closure	27th October, 2020

Listing Information

Face Value of Equity Shares	2
Market Lot of Equity Shares	1
Bombay Stock Exchange (BSE) Code	542830
Bombay Stock Exchange (BSE) Group	B2
NSE Code	IRCTC

IRCTC Forms a Part of Below-Depicted Indices

NIFTY 200

NIFTY 500

NIFTY 500 Multicap 50:25:25 Index

NIFTY LargeMidcap 250

NIFTY India Digital

NIFTY Midcap 100

NIFTY Midcap 150

NIFTY Midcap 50

NIFTY MidSmallcap 400

NIFTY PSE

S&P BSE 150 MidCap Index

S&P BSE 200

S&P BSE 250 LargeMidCap Index

S&P BSE 400 MidSmallCap Index

S&P BSE 500

S&P BSE AllCap

S&P BSE Consumer Discretionary Goods and Services

S&P BSE CPSE

S&P BSE LargeMidCap

S&P BSE MidCap

S&P BSE PSU

S&P BSE Quality

S&P BSE MidSmallCap

The announcement of Union Budget 2022 had a tremendous effect on the IRCTC share price target. One of the key highlights of Budget 2022, announced by Nirmala Sitharaman (Union Finance Minister), new 400 trains named Vande Bharat will be introduced. The idea is to offer better efficiency within a 3-year time frame.

Immediately after this announcement, the IRCTC share price showed an exorbitant jump. On the same day, the Indian Railway PSU stock soared up to INR 899.90 per equity share.

Due to the total ban on travel, IRCTC share prices have shown a sharp decline. But with the removal of restrictions, the scenario changed completely. Furthermore, the budget announcement made IRCTC the key player in the stock market.

Refer to the depicted table to determine the IRCTC share price target.

Date	Opening Price	Closing Price	Min Price	Max Price	Change
March	INR 1503.890	INR 1012.850	INR 1012.850	INR 1503.890	-48.48 Percent▼
April	INR 1010.620	INR 1225.000	INR 1010.620	INR 1267.430	17.5 Percent ▲
May	INR 1224.820	INR 1415.610	INR 1196.240	INR 1415.610	13.48 Percent ▲
June	INR 1428.430	INR 1472.800	INR 1403.130	INR 1499.130	3.01 Percent ▲
July	INR 1467.880	INR 1596.950	INR 1467.350	INR 1612.700	8.08 Percent ▲
August	INR 1632.240	INR1818.640	INR 1626.270	INR 1818.640	10.25 Percent ▲
September	INR 1811.220	INR2430.820	INR 1811.220	INR 2430.820	25.49 Percent ▲
October	INR 2518.290	INR 1358.090	INR 1358.090	INR 2583.980	-85.43 Percent▼
November	INR 1296.750	INR 1074.720	INR 863.329	INR 1296.750	-20.66 Percent▼
December	INR 1046.890	INR1007.850	INR 926.074	INR 1046.890	-3.87 Percent▼

Future Prospects of IRCTC

The Indian Railway Catering and Tourism Corporation is a stalwart when it comes to railway services in India. The Indian Government is wholly responsible for the entire processing initiated by IRCTC. The company profitably operates its diverse components, including budget hotels, food catering, internet ticketing, and tourism. Nationwide, people have known IRCTC since its inception because of its enormous contribution to the Indian economy as well as GDP.

In addition, the IPO of IRCTC was quite successful. Due to COVID restrictions, the company incurred losses. The key reason was COVID-induced lockdown and a total ban on traveling. But with the removal of restrictions, Indian Railways is all set to raise the bars high with their exceptional services across various sectors.