Share price of RVNL shows 10% growth over four sessions with new railway project orders

Market Performance

Rail Vikas Nigam Ltd (RVNL) has announced a ₹156 crore project order from South Western Railway. Due to consistent order wins, RVNL's stock has gained nearly 10% over the last five trading sessions.

On February 24, 2025, RVNL's share price opened at ₹367.45 on the BSE, slightly lower than its previous closing price of ₹371.60. The broader market witnessed a downturn, with the Sensex dropping by 700 points. However, compared to the closing price of ₹333 on February 18, RVNL has shown significant growth.

Project Details

On February 21, 2025, post-market hours, RVNL announced that it had emerged as the Lowest Bidder (L1) for a project from South Western Railway.

Project Scope

The contract involves Engineering, Procurement, and Construction (EPC) work for:

• Designing, testing, supply, installing, and commission 2x25 kV system. 2x25 kV overhead equipment (OHE) system and power supply installations (PSI).
• Electrical General Services, Engineering, and Telecommunication Works in the Rayadurga-Topavagada section of South Western Railway.

Financial and Execution Details

• Project Cost: ₹156.35 crore (including applicable taxes)
• Execution Timeline: 18 months

Other Recent Order Wins

BSNL Project Implementation Agreement

On February 20, 2025, RVNL, in collaboration with HFCL Limited and Aerial Telecom Solutions Pvt. Ltd., signed a Project Implementation Agency (PIA) Agreement for BSNL's UP (West) and UP (East) tenders.

Bengaluru Suburban Rail Project

On February 18, 2025, RVNL received a Letter of Acceptance from Rail Infrastructure Development Company (Karnataka) Limited (K-RIDE). The contract involves constructing nine stations, including one elevated and eight ground-level stations, under the Bengaluru Suburban Rail Project (BSRP) with a total contract value of ₹554.46 crore.

Summary

RVNL continues to secure significant infrastructure contracts, with the latest ₹156 crore project from South Western Railway reinforcing its market presence. The company has also obtained multiple contracts recently, contributing to its stock performance. The projects span railway electrification, telecommunication, and suburban rail infrastructure development, reflecting RVNL's expanding portfolio in the railway sector.