The mishap took place last night near the new bridge area when the duo were going to Rajiv Gandhi Institute of Medical Sciences, they said.
According to local police, while 18-year-old Dasara Vidhyadhara Rao died on the spot, 22-year-old Utapalli Viswanadham sustained injuries and has been admitted to a hospital.
A case under relevant sections of IPC has been registered in this regard and investigations are underway, police added.