Synopsis: The government-owned railway infrastructure PSU has received a Letter of Award from NMDC Limited for setting up Buffer Stockpiles and a Blending Yard with a 10 MTPA handling capacity at Visakhapatnam, Andhra Pradesh, with an order value of Rs.2,977 crore including GST, to be executed over 42 months.
A major infrastructure contract in the mineral logistics segment has strengthened the growth visibility of a railway-focused PSU, highlighting its expanding presence beyond traditional rail projects. The large-scale project, aimed at developing critical bulk material handling infrastructure, reflects the company’s increasing role in executing complex industrial and logistics assets while supporting long-term order book growth.
With a market capitalization of Rs.51,710 crore, the shares of Rail Vikas Nigam Limited were trading at Rs.250. The stock rose 3 percent and is trading at a P/E of approximately 59x. It has delivered a return of 660 percent over 5 years.
Order Update
Rail Vikas Nigam Limited (RVNL) has received a Letter of Award (LOA) from NMDC Limited for “Setting up of Buffer Stockpiles & Blending Yard of 10 MTPA handling capacity at Vizag, Andhra Pradesh.”
The contract is valued at Rs.2,977 crore and is to be executed over a period of 42 months from the effective date. The work falls under the General Contract Conditions and has been awarded by a domestic entity with no related-party interest held by RVNL’s promoter or promoter group.
NMDC Limited, the country’s largest iron ore miner and a Navratna PSU, is investing in dedicated blending and buffer stockpile infrastructure at Vizag to support its downstream steel and mineral processing ambitions. The 10 MTPA handling capacity of the facility underscores the scale of NMDC’s logistics buildout, and RVNL, with its track record across heavy civil and infrastructure EPC, is well-positioned to execute a project of this complexity within port-adjacent terrain.
Financial Snapshot & Business Overview
Rail Vikas Nigam Limited is a New Delhi-based Government of India enterprise under the Ministry of Railways, engaged in the development of rail infrastructure through project execution across tracks, bridges, tunnels, electrification, and metro systems. The company operates through a wide network of subsidiaries and joint ventures in India and internationally.
On a consolidated basis for FY26, RVNL reported total revenue from operations of Rs. 20,412.12 crore, compared to Rs. 19,923.25 crore in FY25. Net profit stood at Rs. 870.66 crore for FY26, against Rs. 1,277.79 crore in FY25
As of March 31, 2026, the total order book for Rail Vikas Nigam Limited stood at Rs. 99,262 crore, comprising railways (Rs. 57,000 crore), signaling (Rs. 14,900 crore), ports, roads, and highways (Rs. 10,400 crore), metros (Rs. 9,900 crore), power and transmission (Rs. 4,000 crore), and hydro and irrigation projects (Rs. 2,000 crore).
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