Synopsis:
Titagarh Rail Systems received a Rs. 91.12 crore domestic order from Banaras Locomotive Works for WAG-9HC shell assemblies, boosting the order book and manufacturing momentum.
A leading player in rail systems and engineering solutions, the company is well recognised for its expertise in designing and manufacturing advanced transportation and industrial products. In a significant development, it has recently secured a major order for locomotive works.
Titagarh Rail Systems Limited’s stock, with a market capitalisation of Rs. 11,637 crore, it rose to Rs. 868.80, hitting a high of up to 1.16 percent from its previous closing price of Rs. 858.85. Furthermore, the stock over the past year has given a negative return of 40 percent.
Order Update
Titagarh has announced that it received a Letter of Acceptance (LOA) from Banaras Locomotive Works for a major order to manufacture and deliver complete shell assemblies for WAG-9HC locomotives. The total value of this order is Rs. 91.12 crores, inclusive of GST, marking an important achievement for Titagarh. The company will be responsible for executing this project, which is scheduled for completion by August 31, 2026, providing a steady business opportunity over the next year.
This order is entirely domestic, as Banaras Locomotive Works is an Indian entity, and it does not involve any promoter group or related party transactions. The terms of the contract specify that it is awarded solely on commercial grounds, ensuring transparency and compliance with SEBI listing regulations.
Also read: PSU stock in focus after management expects loan book to reach ₹1.5 lakh Cr by Q3 FY26
Order Book segments
Titagarh Rail Systems Limited has shown strong order book growth, securing new contracts for 966 waggons worth about Rs. 396 crores, as well as 12 more trainsets for Pune Metro valued at Rs. 431 crores. Additionally, they received approval for 108 metro coaches along with five years of comprehensive maintenance for Mumbai Metro’s Line 6, bringing in an order of approximately Rs. 1,599 crores. Their total order book now includes 10,772 waggons, 1,280 VB coaches, and 441 metro coaches as of June 30, 2025.
Financially, the company’s order value stands at around Rs 12,695 crore, with 67.6% of this value linked to freight rolling stock and 32.4% to passenger rolling stock. The joint venture share as of June 30, 2025, is Rs 13,326 crore, split between Vande Bharat with BHEL (53%) and wheelsets with Ramakrishna Forgings Ltd. (47%). This robust mix of orders and partnerships puts Titagarh Rail Systems in a strong position for continued growth and expansion in both freight and passenger rail markets.
Q1 Financial Highlights
In Q4FY25, the company reported revenue of Rs. 679 crore, a sharp decline of −25% YoY (vs Rs. 903 crore in Q4FY24) and −33% QoQ (vs Rs. 1006 crore in Q3FY25). Profit stood at Rs. 31 crore, down −54% YoY (Rs. 67 crore in Q4FY24) and −52% QoQ (Rs. 64 crore in Q3FY25), reflecting margin pressures.
Despite the weak quarter, long-term performance remains robust with a 3-year profit CAGR of 883%, a sales CAGR of 38%, and an ROE CAGR of 14%, indicating strong structural growth momentum even as near-term earnings have contracted sequentially and annually.
Written By Fazal Ul Vahab C H
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