Sterlite Technologies shares rise 15% on fresh contract win, check details

Shares of Sterlite Technologies Ltd gained 15% in early trade today after the firm said it secured a ₹2,631.14-crore contract from Bharat Sanchar Nigam Limited (BSNL) for the BharatNet middle-mile network in Jammu & Kashmir and Ladakh. Sterlite Technologies shares rose 15.22% to Rs 88.79 against the previous close of Rs 77,06 on BSE. Market cap of the firm rose to Rs 4144 crore. 

The project, identified as package 13, encompasses designing, supplying, constructing, installing, upgrading, operating, and maintaining the network. This initiative aims to enhance digital connectivity in remote areas, supporting the government's push for state adoption of BSNL and MTNL services.

This policy, rooted in a 2019 Cabinet mandate, emphasises the importance of public sector telecom players to address data security concerns. The move is expected to not only improve connectivity but also boost local economies by providing better access to digital resources and services, which are crucial in today's technology-driven world.

Sterlite Technologies reported a consolidated net loss of ₹40 crore for the March 2025 quarter, improving from an ₹82 crore loss recorded in the same period last year. Revenue increased by 25% year-on-year, reaching ₹1,052 crore compared to ₹843 crore in Q4FY24. The rise in revenue demonstrates the company's resilience and strategic focus on expanding its market presence.

This significant contract is expected to bolster Sterlite Technologies' position within the telecom infrastructure sector. With a three-year construction phase and a subsequent ten-year maintenance contract, the company anticipates steady revenue and operational stability.

The project is integral to expanding digital infrastructure in underserved regions, aligning with the company's strategic goals and supporting broader governmental objectives. The long-term maintenance aspect ensures that the network remains robust and efficient, providing uninterrupted services to the populace.