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The management of the Indian Railways Catering and Tourism Corporation (IRCTC) wants to achieve more revenue from its tourism section.

As of the September quarter, the Tourism business contributed only 8 percent to the company's overall topline of over Rs 800 crore.

IRCTC's tourism business offers packages to tourists across the country and also includes accommodations for travelers.

The management also wants to increase its overall revenue growth by procuring tenders for the upgradation of retiring rooms at railway stations.

For the September quarter, IRCTC's revenue doubled year-on-year led mostly by the catering business. Revenue from the latter increased to Rs 334 crore from Rs 71 crore during the same period last year. This is also aided by a low base due to Covid-19 as many trains did not have a catering facility owing to the pandemic.

IRCTC expects the catering business to deliver revenue worth Rs 1,500 crore in the current financial year. For the first two quarters of the year, the company's catering business has had revenue worth Rs 686 crore.

The company's e-ticketing business grew 13 percent from last year during the September quarter. However, when compared to the June period, the numbers are flat.

The management in the earnings call mentioned that it expects traction to continue in the internet ticketing segment.

The tourism arm of the Indian Railways expects to operationalise two Rail Neer plants by the end of the December quarter.

IRCTC shares are trading 0.2 percent lower at Rs 738.85.

First Published:Nov 16, 2022 12:31 PM IST