Rail Vikas Nigam to be in focus on Friday as company emerges as lowest bidder for ₹272 crore railway project

Rail Vikas Nigam, a railway infrastructure company, is likely to be on investors' radar on Friday, November 07, after securing another railway order. In a regulatory filing post-market hours today, the company said it had emerged as the Lowest Bidder (L1) for a project from Central Railway.

The project involves the design, supply, erection, testing, and commissioning of a 220/132/55 KV traction substation, sectioning posts (SPs), and sub-sectioning posts (SSPs) in a 2 x 25 KV traction system (Scott Connected Transformer) for the Daund–Solapur sections of Central Railway, aimed at meeting a 3,000 MT loading target on an EPC mode, as per the company’s regulatory filing.

The order is valued at ₹272 crore (including taxes), with completion scheduled within 24 months, its filing showed.

This marks the company’s fourth order in less than two months. In October, Rail Vikas Nigam received three orders, including a major infrastructure project worth ₹165.5 crore awarded by the North Eastern Railway under its normal course of business operations.

Rail Vikas Nigam share price trend

The company’s shares resumed their losing streak in October after ending a three-month slide in September. In November so far, the stock has extended its decline, losing another 3.35%. The shares have been on a one-way slide since hitting a fresh all-time high of ₹647 apiece.

At current levels, the shares are trading 51% lower than their record price. In terms of yearly performance, the stock is down 25% so far. If this trend continues toward the end of the year, it will mark the company’s first yearly decline since its 2019 listing.

For the quarter ended in June (Q1FY26), the railway PSU reported a 4.1% drop in revenue to ₹3,908 crore, while net profit fell 40% year-on-year to ₹134 crore from ₹224 crore.

Sequentially, the numbers also appeared weak, with revenue falling 35% from Q4FY25, profitability declining 71%, and margins contracting by over 500 basis points. EBITDA on a quarter-on-quarter basis fell nearly 90%.

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