RVNL share zooms 7% on multiple orders worth Rs 541 cr from Indian Railways

Shares of Rail Vikas Nigam Limited (RVNL) climbed 7.52 per cent at Rs 439.90 a piece on the BSE in Tuesday’s intraday trade. RVNL share price jumped after the company emerged as the lowest bidder for multiple projects worth 541 crore from Indian Railways  On Tuesday, RVNL was declared the lowest bidder by East Coast Railway for the Koraput-Singapur Road Doubling Project worth Rs 404.40 crore.  The project involves the execution of 27 major bridges, including 22 major bridges and 5 road overbridges (ROBs), along with earthwork for approach formations, protection works, and other related activities.The work is planned between Tikiri and Bhalumaska stations as part of the Waltair Division’s Koraput-Singapur Road Doubling Project. 

Meanwhile, the company also emerged as lowest bidder for another project from Central Railway that involves design, supply, erection, testing & commissioning of 132/55 KV traction substation, sectioning post (SPs) and sub sectioning post (SSPs) in 2 x 25 KV traction system (Scott Connected Transformer) of Bhusaval - Khandwa Sections of Central Railway. The project is valued at Rs 137.15 crore and is set to be completed within 24 months, the company said.  

 

In Q2FY25, RVNL's profit declined by 27.2 per cent year-on-year (Y-o-Y) to Rs 287 crore, compared to Rs 394.3 crore in Q2FY24. The company’s revenue also saw a slight decrease of over 1 per cent, falling to Rs 4,855 crore in Q2 FY25 from Rs 4,914.3 crore in Q2 FY24. 

 

RVNL share price history

RVNL stock has outperformed the market in the last six months as it has risen 4 per cent, while gaining 139 per cent in the last one year. In comparison BSE Sensex has fallen 1.3 per cent in the last six months and risen 7.9 per cent in a year.

 

The company has a total market capitalisation of Rs 90,385.62 crore. Its shares are trading at a price to earnings multiple of 70.60 times at an earning per share of Rs 6.64.

 

At 11:09 AM, the stock price of the company advanced by 5.96 per cent at Rs 433.50 a piece on the BSE. By comparison, the BSE’s Sensex was down 0.42 per cent to 77,922.00 level.

 

RVNL, a public sector undertaking under the Ministry of Railways, Government of India, was established in 2003 and is dedicated to the development, construction, and implementation of railway infrastructure projects across India. 

 

This includes building new railway lines, station redevelopment, electrification, and signaling. The company plays a crucial role in modernizing and expanding the Indian Railways network, enhancing transport efficiency and safety. As a fully government-owned entity, RVNL is listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE), and also prioritizes sustainable development initiatives such as installing solar panels and adopting eco-friendly practices.