RVNL gains 3% after bagging Rs 18-crore order from East Central Railway

Rail Vikas Nigam (RVNL) shares gained 3.2 per cent in Wednesday's trade and logged an intraday high at Rs 451.85 per share. The counter saw buying after the company bagged an order from East Central Railway worth over Rs 186 crore.

 

Around 10:31 AM, RVNL share price was up 1.44 per cent at Rs 443.9 per share. In comparison, the BSE Sensex was up 0.34 per cent at 81,121.31. The market capitalisation of the company stood at Rs 92,554.04 crore. The 52-week high of the stock stood at Rs 647 per share and 52-week low of the stock stood at Rs 165.55 per share.

 

"It is hereby informed that Rail Vikas Nigam Limited has received a Letter of Acceptance from East Central Railway," the filing read. 

 

It further informed that under the contract RVNL will be responsible for the design, supply, erection, testing, and commissioning of traction sub stations with associated switching posts for upgradation work of the electric traction system from 1X25 to 2 X 25 KV AT feeding system in Gomoh - Patratu Section of Dhanbad Division of East Central Railway. The project has to be completed within 540 days.

 

In Q2, RVNL’s profit plunged 27.2 per cent year-on-year (Y-o-Y) to Rs 287 crore in the September quarter of FY25 (Q2FY25), from Rs 394.3 crore in the September quarter of FY24 (Q2FY24).

 

The company’s revenue, however, fell a little over 1 per cent annually to Rs 4,855 crore in Q2FY25, from Rs 4,914.3 crore in Q2FY24. 

 

RVNL is a public sector undertaking under the Ministry of Railways, Government of India, established in 2003. The company focuses on the development, construction, and implementation of railway infrastructure projects across India, including the construction of new railway lines, station redevelopment, electrification, and signaling. 

 

The company plays a key role in expanding and modernizing the Indian Railways network, contributing to the improvement of transport efficiency and safety. As a fully government-owned entity, RVNL is listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). The company also emphasizes sustainable development initiatives, such as installing solar panels and adopting eco-friendly practices.

 

In the past one year, RVNL shares have gained 153.7 per cent against Sensex's rise of 17.3 per cent.