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Synopsis: Rail Vikas Nigam secured a Rs. 358.97 crore railway EPC contract as the lowest bidder, strengthening its order book, boosting future revenue visibility, and supporting long-term business growth.

This Navratna Railway Stock, engaged in developing and executing railway infrastructure projects, including new railway lines, doubling, electrification, metro projects, bridges, workshops, and other transportation infrastructure in India, jumped 0.84 percent after receiving a contract worth Rs. 358.97 Cr from East Central Railway.

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With a market capitalization of Rs. 47,225.71 crores, the share of Rail Vikas Nigam Limited has reached an intraday high of Rs. 227.35 per equity share, rising nearly 0.84 percent from its previous day’s close price of Rs. 225.45. Since then, the stock has retreated and is currently trading at Rs. 226.40 per equity share. 

What is the News?

Rail Vikas Nigam Limited (RVNL) has emerged as the lowest bidder (L1) for an Engineering, Procurement, and Construction (EPC) contract awarded by East Central Railway. The project involves the doubling of the 41.04 km Kundawa Chainpur (excluding) to Raxaul (excluding) section under the Sitamarhi–Raxaul railway doubling project in the Samastipur Division. 

The scope of work includes earthwork, blanketing, construction of minor and major bridges, station buildings, platform development, level crossing works, and other related railway infrastructure.

The contract is valued at Rs. 358.97 crore (including 18 percent GST) and is scheduled to be completed within 1,095 days. RVNL stated that the order has been received in the normal course of business. The company also confirmed that the contract has been awarded by a domestic entity, and the order is expected to support its future revenue, strengthen its order book, and contribute to its overall business growth.

Order Book Details

As of March 31, 2026, Rail Vikas Nigam Limited (RVNL) had a strong order book of Rs. 99,262 crore, providing healthy revenue visibility for the coming years. The order book is well diversified across multiple infrastructure segments, reducing dependence on a single business area.

The railway segment accounted for the largest share at Rs. 57,000 crore, followed by signalling projects worth Rs. 14,900 crore. The company also had orders worth Rs. 10,400 crore in ports, roads and highways, Rs. 9,900 crore in metro projects, and Rs. 6,000 crore across power, transmission, hydro, and irrigation projects.

Company Overview

Rail Vikas Nigam Limited (RVNL) is a central public sector enterprise of the Government of India that serves as a major railway and transportation infrastructure project implementation agency. Established in 2003 under the Ministry of Railways, it has become one of India’s most important infrastructure execution organizations, handling railway expansion, electrification, bridges, metro projects, and related transportation works across the country.

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Recent Quarter Results

Coming into financial highlights, Rail Vikas Nigam Limited’s revenue has increased from Rs. 6,427 crore in Q4 FY25 to Rs. 6,696 crore in Q4 FY26, which has grown by 4.19 percent. The net profit has decreased by 60 percent from Rs. 455 crore in Q4 FY25 to Rs. 182 crore in Q4 FY26. Rail Vikas Nigam Limited’s revenue and net profit have grown at a CAGR of 16 percent and 10 percent, respectively, over the last ten years.

In terms of return ratios, the company’s ROCE and ROE stand at 11 percent and 9.16 percent, respectively. Rail Vikas Nigam Limited has an earnings per share (EPS) of Rs. 3.84, and its debt-to-equity ratio is 0.54x.

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  • : Author

    Nikhil is a Financial Analyst with over 1.5 years of experience at Trade Brains and a total of 5 years of experience in the financial markets, holding an MBA in Finance and having cleared CA-CPT and CA-Intermediate. Brings strong expertise in equity research, IPO analysis, and financial statement evaluation, with a track record of authoring more than 1,500 in-depth, research-focused articles.

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