RVNL Secures Order Worth ₹145.35 Crore from Southern Railway; Share Price in Focus

Rail Vikas Nigam Limited (RVNL) has been named the lowest bidder for a project awarded by Southern Railway. Filing suggests that the contract is worth ₹145.35 crore (₹145,34,66,865.48)  and was confirmed on September 22, 2025.

Project Scope

The work involves the design, supply, erection, testing, and commissioning of Scott-connected traction substations. It also covers installation of power quality compensating equipment, switching posts (SP/SSP), SCADA integration, and automatic fault locator (AFL) systems.

The project will be carried out between Jolarpettai Junction and Salem Junction under the Salem Division. It is part of the Mission 3000MT initiative for upgrading freight loading capacity. The execution period for the work has been set at 540 days.

Recent Contract with West Central Railway

Earlier this month, on September 10, 2025, RVNL was declared the lowest bidder for another railway contract under West Central Railway. The value of that contract is ₹169.49 crore, inclusive of taxes.

That project covers the Bina–Ruthiyai (RTA) section of the Bhopal Division. The scope includes design, modification, supply, erection, testing, and commissioning of a 220/132kV/2x25 kV Scott-connected traction substation, along with switching posts with AT and SCADA systems.

RVNL Q1FY26 Earnings Results

In the first quarter of FY26, RVNL reported revenue of ₹3,908 crore, a decline of 4.1% year-on-year. EBITDA dropped sharply to ₹52 crore, down 71% from the same quarter last year.

The company’s net profit also fell by 40% to ₹134 crore from ₹224 crore. Margins narrowed to 1.4% compared to 4.5% a year earlier.

Read more: TCS Q2 FY25 Results on October 9, Board to Consider Second Interim Dividend for FY26!

Rail Vikas Nigam Share Price Performance

As of September 23, 2025, 10:10 AM, Rail Vikas Nigam share price was trading at ₹361.05 a 0.60% increase from the previous close.

Conclusion

The ₹145.35 crore Southern Railway contract adds to RVNL’s ongoing list of projects. It comes at a time when the company is managing weaker financial results in its quarterly performance.

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