RAILTEL CORP OF INDIA LTD (NSE: RAILTEL) Q3 2025 Earnings Call dated Jan. 28, 2025
Corporate Participants:
V Rama Manohara Rao — Director, Finance
Unidentified Speaker
H. C. Batra — Executive Director, Finance
Sanjai Kumar — Chairman & Managing Director
Analysts:
Vishal Periwal — Analyst
Manish Ostwal — Analyst
Sanjesh Jain — Analyst
Rohan Vora — Analyst
Harshit Nagpal — Analyst
Shubham Kadhi — Analyst
Viraj — Analyst
Parimal Mithani — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to the Post-Results Q3 FY ’25 Earnings Conference Call of Corporation of India Limited. As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing the star then zero on your touchstone phone. Please note that this conference is being recorded.
I now hand the conference over to Mr Vishal Periwal from Antique Stock Broking. Thank you, and over to you, sir.
Vishal Periwal — Analyst
Yeah, thanks, Steve. Good morning, everyone, and welcome to the post-results earnings call with the management of Corporation. From the management team we have with us Mr, Director Finance; Mr Manoj, Director of Projects Operational and Maintenance; Mr Harish, ED Corporate Communication; and Mr Harish, who set Special ED Finance. So as usual, we’ll have a brief on the gone by quarter from us, sir and then we will have a line open for everyone to ask questions. Yes, sir, over to you.
V Rama Manohara Rao — Director, Finance
Hello to all of you and a very warm good morning to all of you. Thank you. At the outset, I wish you all a very Happy 76th Republic day. And it gives me great pleasure to interact with you all on the performance in the backdrop of quarter three financial results for financial year ’25, which were declared by the company on 27 January ’25. The highlights are as follows: the company achieved operating revenue of INR768 crores in-quarter three of financial year ’25 as against INR668 crores in Q3 of financial year ’24, registering a year-on-year growth of 15%. The telecom segment contributed INR338 crores and project segment contributed INR430 crores in company’s operating turnover.
As regards to total revenue, the year-on-year growth is 16% with INR782 crores in-quarter three of financial year ’25 as compared to INR675 crores in Q3 of financial year ’24. The profit before-tax in Q3 of FY ’25 is INR90 crores as against INR84 crores in Q3 of previous year with year-on-year growth of 6%. The profit-after-tax in-quarter three of financial year ’25 is INR65 crores as against INR62 crores in-quarter three of financial year ’24, registering a year-on-year growth of 5%.
The company achieved a total income of INR2,22 crores in nine months of this financial year against INR1,770 crores during the corresponding previous year with growth of 26%. Profit-after-tax during nine months of financial year ’25 is INR186 crores as against INR169 crores in the corresponding previous year period with growth of 10%. Earnings per share for nine months ending on 31st December ’24 stands at INR5815 INR81 against INR526 during corresponding period of previous financial year.
Now as regards some of the highlights to mention, I’m pleased to inform that Rental has received excellent rating from DPE for the financial year ’23-’24. Is providing video surveillance at eight major Maha with video analytics and face recognition systems and our order book is strong with a value of about INR5,280 crores with opportunities looking up in railway signaling, smart City solutions, HMIs, data center and other areas. And importantly, Railtel has included a five-year strategic partnership with Microsoft to drive AI transformation in the public sector and to advance digital, cloud and AI transformation in Indian railways and public sector space.
As part of this partnership, Microsoft will support Railtel in establishing an AI center of excellence, making Railtel an AI-cussed organization and a leading system integrator partner. The partnership includes an organization-wide skilling initiative to train rental employees in next-generation digital, cloud and AI technologies through Microsoft’s AI national Skill initiative and enterprise skilling initiatives. The two companies will co-develop AI solutions with Microsoft providing technical guidance on product roadmaps and bringing public sector experience on-board.
As we are in our 25th year of our journey in the service of the nation, our progress has been steady and impressive with consistent growth in operational revenue and profits and we rededicate ourselves in the mission of making the digital India stronger. We remain committed to pursuing growth and creating value for our achieved investors. We are also exploring new opportunities in order to realize our true potential.
I thank you all for your trust and collective vision that drives the future of this company. Thank you very much.
Questions and Answers:
Operator
Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press star N2. Participants are requested to use handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles, the first question is from the line of Manish from Nirmwal Bang Securities. Please go-ahead.
Manish Ostwal
Yes, sir. Thank you for the opportunity. My question on the — first on the order inflow trend in the nine months versus last year of nine months. So how — what is the absolute order inflow this year versus? Can you give us the figure and how do you see the growth in order inflow in the coming quarter and the next year, sir
V Rama Manohara Rao
The order book has been consistent and it is very consistent in last nine months compared to previous nine months. It is of the order of INR1,960 crores. And previous financial year also it was around INR1,900 crores. So total order book is around INR5,280 crores. And last year, quarter-four, we had received very good orders and we are also expecting the same trend in this financial year. And to be specific, in this quarter three, we received orders of around INR790 crores.
Manish Ostwal
INR790 crores and the INR1,900 crores in nine months, right, sir.
V Rama Manohara Rao
Crores is nine months, yes.
Manish Ostwal
And very similar to last year, right, sir.
V Rama Manohara Rao
It’s exactly almost similar to last year.
Manish Ostwal
Okay. The second question was maybe set. Second question on the margin side, so our overall blended margin has declined from 20% to 16.3% on nine-month basis. So when I look at our segmental reporting, the reason of the decrease mainly because of the EPC margin has declined from 7% to 4%. If I’m not wrong, you have guided the EPC margin around 4%, 5% to 6% kind of thing. So any low-quality of low-margin order work has been done in this quarter, that’s why the margin 4% and what is your outlook in this line-of-business going ahead?
V Rama Manohara Rao
As this question is of the raise and I mean, the management also has been responding almost similar manner I will respond now. It is a question of basket of projects in that particular quarter, which is contributing to the revenue. And if some of them are good revenue, good margin projects, then it will be giving a better overall picture. But we try to maintain 5% to 6% overall guidance for the financial year because we are hoping that some of the profitable projects which are coming up in next — that is quarter-four will make-good the entire percentage.
Manish Ostwal
And the last question on the progress on the railway coverage program and it is a very big opportunity for the — the — for us. So what is the progress on that? Can you update us how things are moving and when we see the new bonus coming from that side?
V Rama Manohara Rao
And we are happy to inform our community, investor community and stakeholder community that we started participating in coverage tenders in this quarter three and many of the tenders — I mean almost we have in around 400 crores to INR450 crore worth tenders and the results are awaited. I mean, tenders are being evaluated by the Ministry of Railways and various zones and divisions. So I will not be in a position to comment upon the results — end result, but I can assure you that we are in the right track. We have participated in around INR400 crores to INR500 crore worth tenders in and signal.
Manish Ostwal
And what is the total value of the tender on the block by the Indian, what is the total size?
V Rama Manohara Rao
That will not be one thing in tender. It is across various value zones and divisions. So as and when the tenders are coming depending upon our suitability and other, I mean, parameters. So we will keep on participating in the tenders.
Manish Ostwal
Okay, sir. Thank you.
V Rama Manohara Rao
Thank you.
Operator
The next question is from the line of Sanjaysh Jain from ICIC Securities. Please go-ahead.
Sanjesh Jain
Yeah, good morning, sir. Thanks for taking my question and congratulations on the partnership with Microscope. First question again followed.
Operator
I’m sorry to interrupt, Mr, your voice is coming very low.
Sanjesh Jain
Is it good now?
Operator
Yeah, yeah. Thank you.
Sanjesh Jain
Okay. Thank you. Good morning, sir. So first question — first question on the coverage side. In last quarter call, you mentioned that you are looking for other partner because quadrant product is yet to be approved. Now that we have applied for INR400 crore to INR500 crores worth of tender, whom have we partnered with this time?
V Rama Manohara Rao
Yeah, good morning, Sanjesh. And we have partnered with Quadrant only and those approvals were in the final stages at that point in time. That’s why it was — we were not in a position to commit publicly. But as the days progress, the approvals have come in time and then we participated along with quantity
Sanjesh Jain
Kind of POI and everything is approved and that is exactly in-line with the specification of railway.
V Rama Manohara Rao
Yes, yes.
Sanjesh Jain
Okay. Okay. That’s good. Second on the LTE rollout, is there any progress on that side? Because I think coverage and LTE will go hand-in-hand for the signaling, right?
V Rama Manohara Rao
And the LTE rollout, I think various zones and divisions there have to farm and float the tenders and recently we received. I think one tender in South Central railway for 523 route kilometers rollout, that is around INR1442 crores project.
Sanjesh Jain
Okay. And this involves —
V Rama Manohara Rao
And remaining, we need to wait for the rollout of tenders by railings
Sanjesh Jain
And this tendering is what for putting out the network, equipment and
V Rama Manohara Rao
Exactly
Sanjesh Jain
Right. And this will be managed by or it is a BOT, you build and transfer to them?
V Rama Manohara Rao
No, it is a kind of EPC and after that management part will be taken care by values.
Sanjesh Jain
Okay, okay, okay. Even tower will be transferred to them?
V Rama Manohara Rao
Yes.
Sanjesh Jain
Okay, got it. Got it. And second question on the telecom revenue. In last quarter also, you reiterated that we expect to grow that by 10%. This quarter, it appears to be muted. Any particular reason for that?
V Rama Manohara Rao
See, always telecom growth has been a challenging task. We are actually aspiring to maintain 10% and sometimes we may be ending at 8% to 10% kind of thing. And some of the — I mean as far as the growth is concerned, we are — we are better compared to previous financial year, but we are not reaching to the level of 10%, but that is subjected to the market conditions.
Sanjesh Jain
And this market condition is what you are seeing more pricing pressure or spending from the customer is lower. So where-is the pressure coming
V Rama Manohara Rao
In fact, pricing pressure is one, a very strong pricing pressure.
Sanjesh Jain
Okay.
V Rama Manohara Rao
Yeah.
Sanjesh Jain
Got it. Got it. And on the margin side, even railway margin — telecom margin sequentially has fallen from 24.6% to 20.6%, almost 400 basis-points lower. Any cost that has gone up significantly, which is driving this dip?
V Rama Manohara Rao
Not exactly. And actually this telecom project telecom stream, we are actually incorporating the data center revenue also. Data center, there has been a good amount of investment and then maintenance activities in recent past. So that could be one of the reasons.
Sanjesh Jain
Got it. Got it. Sir, can you provide us the breakup of the revenue between NLD ILD and IP1 for this quarter?
V Rama Manohara Rao
Yeah.
Operator
The next question…
V Rama Manohara Rao
And now NLD, I’ll just — I’ll be answering that question. So Sanjesh is online. I hope.
Operator
Yes, sir.
V Rama Manohara Rao
Sanjesh. You asked for the breakup of NLD ISP. NLD is is quarter three, INR150 crores and ISP is INR11 crores and IP1 is INR75 crores.
Sanjesh Jain
And this depreciation jump sequentially is also because of the data center, which we incorporated in this quarter?
V Rama Manohara Rao
No, depreciation is not on data center, it is on telecom infrastructure.
Sanjesh Jain
And what we — what we did in that side, capex, any particular capex we did in this quarter?
V Rama Manohara Rao
I didn’t get you. Could you comment
Sanjesh Jain
The reason why there is a sharp jump-in the depreciation, if you see, there is a 8.4% quarter-on-quarter growth in the depreciation. So what led to this increase in the depreciation
Unidentified Speaker
During the year INR156 crores has the impact. The depreciation there the capex during the year as well as during the last year as.
V Rama Manohara Rao
I think the capex from the capex, I mean, I will ask my special leader to answer this question.
H. C. Batra
Yeah, good morning.
Sanjesh Jain
Good morning, sir.
H. C. Batra
During the year, we had incurred INR156 crore capex, okay. So the impact of the additional capex been during this year as well as last quarter of the financial year.
Sanjesh Jain
And on this capex, out of this capex, how much of data center, sir.
H. C. Batra
Data center is during this year, INR56 crores we have.
V Rama Manohara Rao
In nine months, it is 56 crores, 56, quarter 30 croress
Sanjesh Jain
Got it, got it. And this is for the larger datacenter, not that data center, which we are doing.
V Rama Manohara Rao
No existing data centers we have at Gurgam and for that for that project.
Sanjesh Jain
Got it, got it. That’s quite clear. And for the Q4 generally, we have a very large execution on the project business, that will sustain, right?
V Rama Manohara Rao
Yeah, it will be sustainous. And our — yeah, that we are hopeful of sustaining that, yes.
Sanjesh Jain
Understood, sir. Very clear. And thanks for answering all the questions and best of luck for the coming quarters.
V Rama Manohara Rao
Thank you,.
Operator
The next question is from the line of Rohan Vora from Envision Capital. Please go-ahead.
Rohan Vora
Hello. Am I audible?
V Rama Manohara Rao
Yeah.
Rohan Vora
Sir, thank you for the opportunity. So sir, just in continuation to the last questions on Kavaj. While we’ve already applied for INR400 crores INR450 crores as you mentioned. So what would be our total addressable market in the entire coverage program? Any ballpark numbers on that? And do you — so what are the coverage lined-up for us pipeline — in the pipeline for FY ’26? Thank you.
V Rama Manohara Rao
Rollout is in the hands of the Indian railways. I mean, how they are spacing the capex in next coming two to three years is their internal understanding, we’ll not be having any clue but as for general understanding, it is around INR7,000 crores to INR8,000 crores of coverage, I mean, rollout in the next coming three to four years kind of thing. And coming the financial year ’26 in the sense, now I mentioned about INR400 crores to INR400 crores to INR450 crores tenders we have participated and they are under evaluation. Once they are evaluated, in case the letter of awards are received, they might be in the last quarter of this financial year. So this will go into the execution mode in financial ’26, right? So it all depends upon the kind of winning what we are going to achieve in this — I mean the tendering activity. We are hopeful, say, around in addition to this 400 to 450, we may be expecting to participate in another INR500 crores in the next financial year also. So thereby our order book we are looking up around — I mean order book now participation into the tenders will be around INR1,000 crores in the next coming one year one-year horizon. So the execution mode will depend upon how much we are going to win in these tenders.
Rohan Vora
Got it. And sir, while we have a partner on this, so what would be our share of the revenue if we win and we start executing?
V Rama Manohara Rao
No, they are our partners and rail is floor printing and they are our — I mean OEM partners with us.
Rohan Vora
Okay. So we will be booking the entire revenue and will be — the components will be would that be the right assumption?
V Rama Manohara Rao
Yes, yes.
Rohan Vora
And what would be the percentage of bought-out components?
V Rama Manohara Rao
That also depends on the respective tendering part because it all depends upon in a particular tender, in how many stations they are rolling out, right? And what is the component of the equipment and what is the integration part in respective stations. So it all bundled. We can say around what is the percentage we can, what is no, no. With equipment part, how much equipment part around the — that means equipment will be around 50% to 60% kind of thing. And rollout part will be — so rollout part is our stake. Basically are negative. So we are experts in that area. Got it, got it. So the 50% to 40% — 40% to 50% of rollout is where we have expertise. Yeah. And remaining is equipment, which is OEM equipment, yeah.
Rohan Vora
Correct, correct. And sir, just if I may the last question, would the margins in-line with our normal business in this?
V Rama Manohara Rao
Yeah, they are in the same range.. Say around 8% to 10% kind of.
Rohan Vora
Okay. Okay. Understood. Okay, sir. I’ll get back-in the queue. Thank you.
V Rama Manohara Rao
Thank you. Thank you, Rohan.
Operator
Thank you. Before we take the next question, we would like to remind participants that you may press star N1 to ask a question. Okay. Thank you. The next question is from the line of Harshit Nagpal from YES Securities. Please go-ahead.
Harshit Nagpal
Good morning, sir. Just wanted to know the division for the order book between railways and.
V Rama Manohara Rao
And the order book for railways is around — I mean, total order book is INR5,280 right about that. And in that 28% is from railways, around INR484 crores. Now what is the INR1,484 crores, INR1,484 crores.
Harshit Nagpal
And what would be the division for the project work services between railways
V Rama Manohara Rao
And for this quarter project railway. How much
Harshit Nagpal
Right
V Rama Manohara Rao
Railway contribution is around 3 93 crores. Around 80% 18% on our turnover.
Harshit Nagpal
Right. And sir, we were talking about revenue projections of INR3,300 crores for the year FY ’25. Are we still on-track for that or do we see that
V Rama Manohara Rao
Could you repeat the question? It was not to say.
Harshit Nagpal
So the revenue projections for the FY ’25 were INR3,300 crores. So are we on-track for that or do we think it’s going to be lesser than that?
V Rama Manohara Rao
We are on-track.
Harshit Nagpal
Right. And sir, the order book division for tender and non-tender, if you could please give that too.
V Rama Manohara Rao
That is also — I mean, tender is around 72% and 28% on nomination.
Harshit Nagpal
The next question on the edge data centers. We were talking about 8% to 10% margin and we’ll roll-out around 102 data centers in the next 1.5 years, two years. Is there a particular number that we have rolled-out or are we still in-progress with it on how many data?
V Rama Manohara Rao
Yeah, we have — actually we have identified immediate — for immediate execution implementation around 20 locations. And. And in all those 20 locations, various activities like the fight survey and the feasibility reports, et-cetera, they are on cards now, right? Right now they are going on. And few of them are reaching a maturity of finality where we will be along with the partner, we’ll be in a position to approach for certifications. So to roll-out the data center, we need uptime — the uptime certification, which gives Tire 3 certification kind of we are going to offer the Type 3, Type 3 data center application — I mean certifications. So they also will take some time to, I mean, assess and then finally give the certifications, which will make the data center ready to go into business mode. So these are all actually taking slightly — I mean, they’re all at different locations, et-cetera and a lot of coordination is involved. So initial level, it is taking longer time than expected. So we are now actively working on around 25s.
Harshit Nagpal
Right. And sir, like we will not — we are not capex heavy in this, right. We are being running the data centers and maintaining it, right? That’s what we are going to do and the other partner is going to set it up. So is that what it is like?
V Rama Manohara Rao
You’re right.
Harshit Nagpal
And sir, the are output for this quarter, if you could
V Rama Manohara Rao
It is yeah, 496 to be specific.
Harshit Nagpal
Also, sir, just a question on the margin. So the top-line is the 8% to 10% of the data center that was running it or that is the final margin for that?
V Rama Manohara Rao
See, last-time also, I think this question was asked, I mean, my CMD, sir was mentioning that these are all contract-specific details which can’t be diversed. It is in the range as per the market trends.
Harshit Nagpal
Okay, sir. Thank you, sir. Thanks a lot. All the best for the.
V Rama Manohara Rao
Thank you. Thank you very much.
Operator
Thank you the next question is from the line of Kardi from 3A Financial Services. Please go-ahead.
Shubham Kadhi
Hello, am I audible?
V Rama Manohara Rao
Yeah, audible. Shivan, am I right? Shivam,
Shubham Kadhi
Shivan. Yeah. Shivan, good morning, sir.
V Rama Manohara Rao
Good morning.
Shubham Kadhi
My last con-call you gave a guidance of 30% year-on-year. Are we still maintaining that?
V Rama Manohara Rao
Yes, we are still maintaining that. Normally, quarter-four will be slightly heavier compared to remaining quarters. And as of now, we maintain 26% growth rate year-on-year. So reaching 30 is not a challenge as per our understanding.
Shubham Kadhi
And sir, I can say quarter-on-quarter your revenues have dropped. So is there any particular reason or was it just a one-off quarter?
V Rama Manohara Rao
It is one-off quarter with no specific trend kind of thing or any big event kind of things. See, when we are actually clocking consistently of the same range and then maintaining year-on-year 30%, quarter-on-quarter, there can be here and there, I mean, fluctuations depending upon various other various factors.
Shubham Kadhi
Okay, sir. And sir, the total order book you mentioned is over INR5,000 crores, INR80 crores to be exact. So when can we expect this to hit the top-line the second-half?
V Rama Manohara Rao
Last year also — I mean the guidance what we had given for projects is around INR1,800 crores to INR2,000 crores for this financial year. So it would be of the same kind of burning of the order book resulting in turnover. It will be of the same order.
Shubham Kadhi
It usually takes around one year to do INR2,000 crores worth of number. Okay, sir. Thank you. That’s all from my side.
V Rama Manohara Rao
Thank you.
Operator
A reminder to all participants that you may press star N1 to ask a question. Ladies and gentlemen, if you wish to ask a question to the management, you may press star N1 at this time the next question is from the line of Vishal from Antique Stock Broking. Please go-ahead.
Vishal Periwal
Yes, sir. Thanks for the opportunity. Sir, in terms of order inflow for the project segment has been pretty robust, I think it is actually consistent number that we are doing. So any particular sector that where we are getting this traction or it is segregated across sectors? Any color will be helpful on that sir.
V Rama Manohara Rao
I have already mentioned to you that we are morning, Vishal and we are — I already mentioned that we are getting some getting good — I mean show-up in signaling area, railway signaling. We have been actively participating. And as on-date, our order book from signaling is around INR330 crores. And data center is one area which we are actually working on. And various other, for example, HMAs additional rollout within the railways is also another area. So all these areas are contributing and new area what — which was not so significant in earlier years — earlier two to three years kind of thing is the signaling one which is looking up.
Vishal Periwal
Okay, got it, sir. Sir, in terms of worldwide also, are we targeting anything outside India for a railway in a project side, sir?
V Rama Manohara Rao
We have been consistently making efforts to get some good orders on international business also. We are closely coordinating with Minister of External Affairs. They have been kind and then supporting the public sectors, including, including real and as of now, no, I mean, order has been received, but we are within the striking range. But not in signaling as of now, but various other system integration works right now?
Vishal Periwal
Okay, okay. Okay. And will it be possible, sir, vis-a-vis domestic market or I mean like how the size differs when will you do it in international markets? What is…
V Rama Manohara Rao
The international market, to be specific, you are talking about the signaling part. Signaling is many of the railway, other PSUs are also active in that area. So that is one challenge. We need to coordinate with our own railway, other PSUs who are doing signaling activities in other countries. And as far as this, for example, system integration works, we are hopeful of getting good orders. So I think we are well within the pricing range. We will be breaking the news as early.
Vishal Periwal
Okay, okay, sure, sir. Just one last thing, more like a clarification, sir. So there is a component of nomination in our order book. So is it fair to say the incremental orders in the last two, three years that we would have got, so they are more like competitive bidding. These are like previous — I mean, before that, these are like we are just concluding or finishing those orders. That’s why we are in the book.
V Rama Manohara Rao
Yes, yes. Fairly you can say that. So I mean major nomination was our only — I mean our contribution is because the order book is around 28% and these are all mainly the earlier works only. For example, video surveillance system on entire Indian railway rollout, that kind of projects are still going on. So that is what you are also saying the same thing. Yes.
Vishal Periwal
Okay, okay. Sure, sir. That’s all from my side. I’ll come back-in the queue, sir.
V Rama Manohara Rao
Thank you, Vishal.
Operator
Participants who wish to ask a question may press star and one. The next question is from the line of Viraj from Jupiter Financial. Please go-ahead.
Viraj
Yeah, good morning, sir. I joined — I joined the call late. So I just want a clarification, I that you talked — you said that 26% top-line growth, right year-on-year. That’s what the guidance will give, right.
V Rama Manohara Rao
So that has been the achievement in the last nine months.
Viraj
So 30%, 26% to 30% would be the growth range, which could be taken for analysis. Correct?
V Rama Manohara Rao
Yes, yes, yes.
Viraj
And sir, the net margins would be in the range of what 10% or the margins will improve going-forward?
V Rama Manohara Rao
The net margins always has been a — I mean, point of discussion as we are growing in projects which are very competitive and many of the public sector undertakings are also participating in very tough competition. So we have been giving a guidance of, say, around 9% to 10%. So it will be somewhere around, but it will be slightly higher depending upon the basket of projects in that particular financial year. It could be around 8% to 10% growth.
Viraj
Okay. And sir, any update on coverage should be —
V Rama Manohara Rao
But I’ve already mentioned Viraj and it’s a good news that we started participating in tenders and in Q3 and coverage together around INR450 crores to INR500 crores what the tenders we have participated and we are awaiting the final results from the railways. The tenders are getting evaluated.
Viraj
So what will be our total addressable size in coverage project would be?
V Rama Manohara Rao
This also I have responded and what I mentioned was that it all depends upon how the railway is rolling out the coverage project and — and across various zones and divisions, they have their own plan of rolling out an outlay for the coverage. So in next coming three to four years, we are expecting around INR7,000 crores is the overall rollout from railways. But these figures are our understanding. And the actual thing will be known to internal railway system.
Viraj
Okay. So our addressable market size would be INR7,000 crores, right as per our.
V Rama Manohara Rao
Yes, yes, ma’am.
Viraj
Okay. Thank you, sir. I actually joined the call late. Sorry. Sorry for the time.
V Rama Manohara Rao
That’s fine. That’s fine. That’s fine, Viraj. Thank you.
Viraj
Thank you, sir. Thank you.
Operator
Thank. Ladies and gentlemen, this will be the last reminder. Any participants who ask questions, please press star and one. The next question is from the line of Vishal Periwal from Antique Stock Broking. Please go-ahead.
Vishal Periwal
Yes, sir. One clarification. If one has to understand the total bid pipeline that we have, do you compile and any number that is there? Like this is the big pipeline that is there for us? And one final question to this is like when in the 3rd-quarter, we have won almost like INR800 crores kind of order. So what is the total bid amount that we have like placed orders for and we got eventually INR800 odd crores? Just wanted to understand like how the deals are.
V Rama Manohara Rao
Very interesting question, Vishal. Actually to it all depends because internally we keep on mastering various tenders that are afloat across various ministries and railways, etc. And that will be a big tool. But it all depends upon finding out partners, finding out right to OEMs and our eligibility criteria, our bid capacity at that particular point in time. We saw so many parameters that go into that, which finally make us to final bid. So it is very difficult and this number is always dynamic on daily basis because so many new orders, no tenders keep floating, etc. So that is a pipeline aspect this much we can’t say. But one thing I can mention is that it could be somewhere around four is to one. If I participate in four tenders, if I get to 25% billing rate also, it is extremely good market. But that is not the case with many of the public sectors because everyone is competing for the same pile, similar kind of projects. So somewhere around 15% billing rate, rate is a very good decent market. We are striving for that. This much I can say.
Vishal Periwal
Okay, okay, sure, sure. That’s all from my side, sir. Thank you.
V Rama Manohara Rao
Vishal, thank you. And once again, to the organizers, I just wanted to inform you that was just reached the office he was on travel. He rushed from the airport to attend this call to wish you all. I will just hand over the next call to sir, our CMD.
Sanjai Kumar
So very good after — very good morning, everyone. I’m sorry, I could not attend this call from beginning but I’m sure that our Director of Finance must-have satisfied all your queries. I wish you all a very happy New Year since we are talking for the first time in this new calendar year. Thank you.
Operator
Thank you. Thank you. Thank you. The next question is from the line of Parimal Mathani from Credential Investments. Please go-ahead.
Parimal Mithani
Sir, can you hear me?
V Rama Manohara Rao
Yes, Mr, please.
Parimal Mithani
So I just wanted to clarification cover basically. Is it safe that will be bid by or it will be through this JV with Quadrant the contract. So can you just clarify on that?
V Rama Manohara Rao
We have a partnership with Quadrant, so we have an understanding.
Parimal Mithani
Okay. So what also we see points ago at least.
V Rama Manohara Rao
Yeah. They are our original manufacturers partnership is there with us. So in the tenders, we keep participating along with the quadrant.
Parimal Mithani
Okay. So the — in addition to the previous — one of the analysts asked the question, is the addressable side for you at all loan will be INR7,000 crores or it will be combined both is it INR7,000 crores? That’s just a clarification I wanted to
V Rama Manohara Rao
No, this is the rollout by railway. We are expecting will roll-out tenders say around INR7,000 crores in next seven, two to three years. That is our expectation.
Parimal Mithani
Okay, thank you. Thank you
V Rama Manohara Rao
Thank you.
Operator
Thank you. As there are no further questions, with this, we will now conclude the call. On behalf of Antique Stock Broking, that concludes this conference. Thank you for joining us and you may now disconnect your lines.
V Rama Manohara Rao
Thank you. Thank you so much.