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Indian Railway Catering & Tourism

BSE:542830
Snowflake Description

Outstanding track record with flawless balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
542830
BSE
₹182B
Market Cap
  1. Home
  2. IN
  3. Commercial Services
Company description

Indian Railway Catering & Tourism Corporation Limited provides catering and hospitality, Internet ticketing, travel and tourism, and packaged drinking water services for Indian railways in India. The last earnings update was 56 days ago. More info.


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  • Indian Railway Catering & Tourism has significant price volatility in the past 3 months.
542830 Share Price and Events
7 Day Returns
15.8%
BSE:542830
8.3%
IN Commercial Services
2.2%
IN Market
1 Year Returns
-
BSE:542830
-36.8%
IN Commercial Services
-27.6%
IN Market
542830 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Indian Railway Catering & Tourism (542830) 15.8% -7.5% 30.7% - - -
IN Commercial Services 8.3% -20.7% 0.7% -36.8% -30% 1.6%
IN Market 2.2% -20% -25.9% -27.6% -20.5% -10.6%
1 Year Return vs Industry and Market
  • No trading data on 542830.
  • No trading data on 542830.
Price Volatility
Industry
5yr Volatility vs Market

Value

 Is Indian Railway Catering & Tourism undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Indian Railway Catering & Tourism to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Indian Railway Catering & Tourism.

BSE:542830 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 12.9%
Perpetual Growth Rate 10-Year IN Government Bond Rate 6.5%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BSE:542830
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 6.5%
Equity Risk Premium S&P Global 7.9%
Commercial Services Unlevered Beta Simply Wall St/ S&P Global 0.73
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.726 (1 + (1- 35%) (0%))
0.817
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.82
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 6.48% + (0.817 * 7.85%)
12.89%

Discounted Cash Flow Calculation for BSE:542830 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Indian Railway Catering & Tourism is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

BSE:542830 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (INR, Millions) Source Present Value
Discounted (@ 12.89%)
2020 4,995.89 Est @ 10.75% 4,425.45
2021 5,469.07 Est @ 9.47% 4,291.43
2022 5,937.99 Est @ 8.57% 4,127.36
2023 6,409.81 Est @ 7.95% 3,946.59
2024 6,890.93 Est @ 7.51% 3,758.37
2025 7,386.95 Est @ 7.2% 3,568.87
2026 7,902.77 Est @ 6.98% 3,382.12
2027 8,442.68 Est @ 6.83% 3,200.62
2028 9,010.56 Est @ 6.73% 3,025.87
2029 9,609.99 Est @ 6.65% 2,858.68
Present value of next 10 years cash flows ₹36,585.00
BSE:542830 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= ₹9,609.99 × (1 + 6.48%) ÷ (12.89% – 6.48%)
₹159,634.97
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ₹159,634.97 ÷ (1 + 12.89%)10
₹47,486.55
BSE:542830 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ₹36,585.00 + ₹47,486.55
₹84,071.55
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹84,071.55 / 160.00
₹525.45
BSE:542830 Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in BSE:542830 represents 0.99987x of NSEI:IRCTC
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.99987x
Value per Share
(Listing Adjusted, INR)
= Value per Share (INR) x Listing Adjustment Factor
= ₹ 525.45 x 0.99987
₹525.38
Value per share (INR) From above. ₹525.38
Current discount Discount to share price of ₹1,194.05
= -1 x (₹1,194.05 - ₹525.38) / ₹525.38
-127.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Indian Railway Catering & Tourism is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Indian Railway Catering & Tourism's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Indian Railway Catering & Tourism's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BSE:542830 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in INR ₹26.62
NSEI:IRCTC Share Price ** NSEI (2020-04-08) in INR ₹1194.2
India Commercial Services Industry PE Ratio Median Figure of 37 Publicly-Listed Commercial Services Companies 9.46x
India Market PE Ratio Median Figure of 2,615 Publicly-Listed Companies 9.59x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Indian Railway Catering & Tourism.

BSE:542830 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NSEI:IRCTC Share Price ÷ EPS (both in INR)

= 1194.2 ÷ 26.62

44.86x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Indian Railway Catering & Tourism is overvalued based on earnings compared to the IN Commercial Services industry average.
  • Indian Railway Catering & Tourism is overvalued based on earnings compared to the India market.
Price based on expected Growth
Does Indian Railway Catering & Tourism's expected growth come at a high price?
Raw Data
BSE:542830 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 44.86x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
Asia Commercial Services Industry PEG Ratio Median Figure of 76 Publicly-Listed Commercial Services Companies 1.29x
India Market PEG Ratio Median Figure of 400 Publicly-Listed Companies 0.82x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Indian Railway Catering & Tourism, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Indian Railway Catering & Tourism's assets?
Raw Data
BSE:542830 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in INR ₹72.58
NSEI:IRCTC Share Price * NSEI (2020-04-08) in INR ₹1194.2
India Commercial Services Industry PB Ratio Median Figure of 44 Publicly-Listed Commercial Services Companies 0.92x
India Market PB Ratio Median Figure of 3,614 Publicly-Listed Companies 0.64x
BSE:542830 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NSEI:IRCTC Share Price ÷ Book Value per Share (both in INR)

= 1194.2 ÷ 72.58

16.45x

* Primary Listing of Indian Railway Catering & Tourism.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Indian Railway Catering & Tourism is overvalued based on assets compared to the IN Commercial Services industry average.
X
Value checks
We assess Indian Railway Catering & Tourism's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Commercial Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Commercial Services industry average (and greater than 0)? (1 check)
  5. Indian Railway Catering & Tourism has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Indian Railway Catering & Tourism expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Indian Railway Catering & Tourism has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
14.3%
Expected Commercial Services industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Indian Railway Catering & Tourism expected to grow at an attractive rate?
  • Unable to compare Indian Railway Catering & Tourism's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Indian Railway Catering & Tourism's earnings growth to the India market average as no estimate data is available.
  • Unable to compare Indian Railway Catering & Tourism's revenue growth to the India market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
BSE:542830 Future Growth Rates Data Sources
Data Point Source Value (per year)
India Commercial Services Industry Earnings Growth Rate Market Cap Weighted Average 14.3%
Asia Commercial Services Industry Revenue Growth Rate Market Cap Weighted Average 12.6%
India Market Earnings Growth Rate Market Cap Weighted Average 19.1%
India Market Revenue Growth Rate Market Cap Weighted Average 8.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BSE:542830 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BSE:542830 Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-04-08
BSE:542830 Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2019-12-31 21,842 4,260
2019-09-30 19,032 2,938
2019-06-30 18,856 2,832
2019-03-31 18,679 4,927 2,726
2018-03-31 14,661 236 2,206
2017-03-31 15,196 3,382 2,291

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Indian Railway Catering & Tourism is high growth as no earnings estimate data is available.
  • Unable to determine if Indian Railway Catering & Tourism is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BSE:542830 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Indian Railway Catering & Tourism Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:542830 Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-04-08
BSE:542830 Past Financials Data
Date (Data in INR Millions) EPS *
2019-12-31 26.62
2019-09-30 18.36
2019-06-30 17.70
2019-03-31 17.04
2018-03-31 13.79
2017-03-31 14.32

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Indian Railway Catering & Tourism will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Check out Indian Railway Catering & Tourism's track record over time to understand how much the company has returned to shareholders and its earnings growth rate in the past.
  2. Indian Railway Catering & Tourism's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Commercial Services companies here
  3. Indian Railway Catering & Tourism's competitive advantages and company strategy can generally be found in its financial reports archived here.
  4. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess Indian Railway Catering & Tourism's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Asia market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Indian Railway Catering & Tourism has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Indian Railway Catering & Tourism performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Indian Railway Catering & Tourism's growth in the last year to its industry (Commercial Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Indian Railway Catering & Tourism's year on year earnings growth rate has been positive over the past 5 years.
  • Indian Railway Catering & Tourism's 1-year earnings growth exceeds its 5-year average (64% vs 16.5%)
  • Indian Railway Catering & Tourism's earnings growth has exceeded the IN Commercial Services industry average in the past year (64% vs 17.9%).
Earnings and Revenue History
Indian Railway Catering & Tourism's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Indian Railway Catering & Tourism Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:542830 Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 21,842.15 4,259.65 215.65
2019-09-30 19,032.45 2,937.56 215.65
2019-06-30 18,855.64 2,831.76 215.65
2019-03-31 18,678.83 2,725.95 215.65
2018-03-31 14,660.94 2,206.19 272.62
2017-03-31 15,196.49 2,290.81 164.36
2016-03-31 13,668.24 1,972.95 125.49
2015-03-31 10,591.35 1,306.28 103.03
2014-03-31 9,150.63 762.08 169.59

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Indian Railway Catering & Tourism has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Indian Railway Catering & Tourism used its assets more efficiently than the IN Commercial Services industry average last year based on Return on Assets.
  • Indian Railway Catering & Tourism has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Indian Railway Catering & Tourism's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Commercial Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Indian Railway Catering & Tourism has a total score of 6/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Indian Railway Catering & Tourism's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Indian Railway Catering & Tourism's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Indian Railway Catering & Tourism is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Indian Railway Catering & Tourism's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Indian Railway Catering & Tourism's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Indian Railway Catering & Tourism has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Indian Railway Catering & Tourism Company Filings, last reported 3 months ago.

BSE:542830 Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 11,612.57 0.00 11,819.29
2019-09-30 11,612.57 0.00 11,819.29
2019-06-30 11,612.57 0.00 11,819.29
2019-03-31 10,428.42 0.00 10,264.97
2018-03-31 9,545.26 0.00 8,315.19
2017-03-31 7,865.59 0.00 8,486.21
2016-03-31 7,005.72 0.00 6,152.63
2015-03-31 4,442.53 0.00 3,540.85
2014-03-31 3,469.17 0.00 3,480.76
  • Indian Railway Catering & Tourism has no debt.
  • Indian Railway Catering & Tourism has not taken on any debt in the past 5 years.
  • Indian Railway Catering & Tourism has no debt, it does not need to be covered by operating cash flow.
  • Indian Railway Catering & Tourism has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Indian Railway Catering & Tourism's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Indian Railway Catering & Tourism has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Indian Railway Catering & Tourism's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.84%
Current annual income from Indian Railway Catering & Tourism dividends.
If you bought ₹2,000 of Indian Railway Catering & Tourism shares you are expected to receive ₹17 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Indian Railway Catering & Tourism's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.91%).
  • Indian Railway Catering & Tourism's dividend is below the markets top 25% of dividend payers in India (3.92%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BSE:542830 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
India Commercial Services Industry Average Dividend Yield Market Cap Weighted Average of 12 Stocks 0.9%
India Market Average Dividend Yield Market Cap Weighted Average of 1419 Stocks 1.9%
India Minimum Threshold Dividend Yield 10th Percentile 0.4%
India Bottom 25% Dividend Yield 25th Percentile 0.9%
India Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BSE:542830 Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2020-04-08
BSE:542830 Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2020-02-12 10.000 0.799

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • It is too early to tell whether Indian Railway Catering & Tourism has stable dividend payments.
  • Indian Railway Catering & Tourism only just started paying a dividend, it is too early to tell if payments are increasing.
Current Payout to shareholders
What portion of Indian Railway Catering & Tourism's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.5x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Indian Railway Catering & Tourism's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.4%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Indian Railway Catering & Tourism afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Indian Railway Catering & Tourism has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Indian Railway Catering & Tourism's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Mahendra Mall
COMPENSATION ₹5,575,934
TENURE AS CEO 2.7 years
CEO Bio

Mr. Mahendra Pratap Mall has been the Chairman & Managing Director at Indian Railway Catering and Tourism Corporation Ltd. since August 16, 2017 and has been its Whole-Time Director since January 21, 2013. Mr. Mall was Director of Finance at Indian Railway Catering and Tourism Corporation Ltd until August 2019. Mr. Mall served as a Director of Finance at Indian Railway Catering and Tourism Corporation Ltd. since January 21, 2013 until August 16, 2017.

CEO Compensation
  • Mahendra's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Mahendra's remuneration is lower than average for companies of similar size in India.
Management Team

Mahendra Mall

TITLE
MD & Chairman
COMPENSATION
₹6M
TENURE
2.7 yrs

Suman Kalra

TITLE
Company Secretary & Compliance Officer
COMPENSATION
₹2M

Ajai Srivastava

TITLE
Group General Manager of Finance

Rajni Hasija

TITLE
Whole Time Director

Surendra Kumar

TITLE
Group General Manager of HRD

Sushanta Pattnaik

TITLE
Chief Vigilance Officer

- Narendra

TITLE
Director of Finance
TENURE
0.7 yrs
Board of Directors Tenure

Average tenure of the Indian Railway Catering & Tourism board of directors in years:

2.1
Average Tenure
  • The average tenure for the Indian Railway Catering & Tourism board of directors is less than 3 years, this suggests a new board.
Board of Directors

Mahendra Mall

TITLE
MD & Chairman
COMPENSATION
₹6M
TENURE
2.7 yrs

Rajni Hasija

TITLE
Whole Time Director
TENURE
1.9 yrs

Comal Sundaramurti

TITLE
Non-Official Independent Director
TENURE
2.5 yrs

Sachin Chaturvedi

TITLE
Non-Official Independent Director
TENURE
2.5 yrs

Sarita Deshpande

TITLE
Non-Official Independent Director
TENURE
2.1 yrs

Neeraj Sharma

TITLE
Part-Time Government Director
TENURE
1.8 yrs

Vinay Srivastava

TITLE
Additional Part Time Government Director
TENURE
0.1 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
X
Management checks
We assess Indian Railway Catering & Tourism's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Indian Railway Catering & Tourism has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Indian Railway Catering & Tourism Corporation Limited provides catering and hospitality, Internet ticketing, travel and tourism, and packaged drinking water services for Indian railways in India. The company offers mobile catering services, including on-board catering management services through pantry cars on trains; train side vending contracts management services on mail/express and superfast trains; and pantry cars re-designing and development services. It is also involved in the management of various static catering units of railways, such as refreshment rooms, Jan Ahaars, and cell kitchens, as well as base kitchens; and eight executive lounges in the railway stations, as well as reclining sofa, meals in buffet service, Wi-Fi Internet services, shower facilities, and others. In addition, the company operates and maintains railway retiring rooms; operates two budget hotels under the Rail Yatri Niwas name; and offers e-catering, Internet ticketing, and accommodation services. Further, it operates irctctourism.com, a tourism portal; and provides rail-based tourism services comprising rail tour packages, special tourist trains, special interest trains, Buddhist Circuit tourist trains, Majestic tourist trains, and Maharajas’ Express luxury train services, as well as train, coach, and saloon charter services. Additionally, the company offers packaged drinking water under the Rail Neer name; co-branded credit cards and travel insurance services; and land, cruise, and air tour packages and air ticket booking services. The company was founded in 1999 and is based in New Delhi, India.

Details
Name: Indian Railway Catering & Tourism Corporation Limited
542830
Exchange: BSE
Founded: 1999
₹181,976,000,000
160,000,000
Website: http://www.irctc.com
Address: Indian Railway Catering & Tourism Corporation Limited
B 148, Statesman House,
11th Floor,
New Delhi,
Delhi, 110001,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NSEI IRCTC Equity Shares National Stock Exchange of India IN INR 14. Oct 2019
BSE 542830 Equity Shares Mumbai Stock Exchange IN INR 14. Oct 2019
Number of employees
Current staff
Staff numbers
1,388
Indian Railway Catering & Tourism employees.
Industry
Diversified Support Services
Commercial Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/08 13:19
End of day share price update: 2020/04/08 00:00
Last estimates confirmation: 2020/03/25
Last earnings filing: 2020/02/12
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.