RVNL Bags Orders From South Western Railway Worth ₹156.35 Crore

The Ministry of Railways, Government of India, oversees Rail Vikas Nigam Ltd (RVNL), a prestigious Miniratna public sector enterprise. Established in 2003, RVNL is dedicated to project development, financial resource mobilisation, and the execution of large-scale railway infrastructure projects to enhance and modernise India’s railway network.

LOA from South Western Railway

On March 6, 2025, RVNL announced that it has secured a Letter of Acceptance from South Western Railway for a high-value Engineering, Procurement, and Construction (EPC) contract worth ₹156.36 crore (inclusive of applicable taxes).

This project entails the design, supply, erection, testing, and commissioning of a 2X25 KV Overhead Electrification (OHE) & Power Supply Installation (PSI) system, alongside electrical general services, engineering, and telecommunication works. The contract specifically covers the Rayadurga-Topavagada section of the TK-RDG railway line, with completion targeted within 18 months.

RVNL Q3 FY25 Results

RVNL reported a 13.1% year-on-year (YoY) decline in net profit, standing at ₹311.6 crore for Q3 FY25, compared to ₹358.6 crore in the corresponding quarter of FY24. Revenue witnessed a 2.6% contraction, amounting to ₹4,567.4 crore against ₹4,689.3 crore in the previous year.

At the operational level, EBITDA (Earnings Before Interest, Tax, Depreciation, and Amortisation) declined 3.9% YoY to ₹239.4 crore in Q3 FY25, as opposed to ₹249 crore in the same quarter of the previous fiscal. Meanwhile, the EBITDA margin remained stable at 5.2%, marginally lower than the 5.3% recorded in FY24.

Share Price Performance 

At 9:45 AM on March 7, 2025, Rail Vikas Nigam Ltd shares traded 2.53% up at ₹346.10 per share on the NSE.

Conclusion

This contract underscores RVNL’s expertise in executing large-scale railway infrastructure projects and reinforces its pivotal role in India’s railway modernisation. By spearheading electrification and technological advancements, RVNL continues to drive efficiency, sustainability, and enhanced connectivity within the nation’s railway network.

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