RVNL stock price zooms 8% on bagging Nagpur Metro project worth Rs 187 cr

Shares of Rail Vikas Nigam Limited (RVNL) soared up to 7.8 per cent, hitting a fresh 52-week high of Rs 399.70 a piece on the BSE in Monday’s intraday deals. 

This came after the company emerged as the lowest bidder from Maharashtra Metro Rail Corporation Limited or Nagpur Metro for construction of 6 elevated Metro stations. This includes stations like Cantonment, Kamptee Police Station, Kamptee Municipal Council, Dragon Palace, Golf Club and Kanhan River Metro station. 

The total time for execution of the project is 30 months with an overall project value of Rs 187.3 crore, RVNL said in an exchange filing on Friday. 

Last week on Monday, the company also received a letter of acceptance from South Eastern Railway for design, supply, erection, testing and commissioning for upgradation of electric traction system for Kharagpur- Bhadrak section of Kharagpur division of South Eastern Railway. The project has an overall value of Rs 148.2 crore. 

RVNL reported a 33.2 per cent year-on-year (YoY) increase in net profit to Rs 478.6 crore for the fourth quarter ending March 31, 2024. In the corresponding quarter of FY23, the company's net profit stood at Rs 359 crore. 

Additionally, RVNL's revenue from operations grew 17.4 per cent to reach Rs 6,714 crore compared to Rs 5,719.8 crore in the same period of the previous fiscal year. 

At the operating level, earnings before interest, tax, depreciation, and amortisation. (Ebitda) surged by 21.8 per cent to Rs 456.4 crore in the fourth quarter of this fiscal, up from Rs 374.6 crore in the year-ago period, with the Ebitda margin improving slightly to 6.8 per cent from 6.6 per cent in the corresponding period of the previous fiscal. 

At 12:28 PM; the stock of the company was 2.90 per cent higher at Rs 381.10 per share on the BSE. By comparison, the S&P BSE Sensex was up 0.71 per cent at 74,949 levels.