Rail Vikas Nigam bags mega order from HPSEBL

Rail Vikas Nigam Ltd (RVNL), the state-run railway and construction company, on Tuesday, March 4, 2025, announced it has received an order worth ₹730 crore from Himachal Pradesh State Electricity Board. The order is for the development of distribution infrastructure in the central zone of Himachal Pradesh under the Revamped Reforms-based and Results-linked Distribution Sector Scheme. The project is to be completed within 24 months, as stated in an exchange filing.“It is hereby informed that Rail Vikas Nigam Limited has received Letter of Acceptance from HPSEBL for Development of Distribution Infrastructure at CENTRAL ZONE of Himachal Pradesh under the Revamped Reforms-based and Results-linked, Distribution Sector Scheme (Loss Reduction Work),” the public sector company informed in its exchange filing.

Earlier on February 27, RVNL informed in a separate update that it has received a letter of acceptance (LoA) from Central Railway for a ₹135.66-crore contract involving the design, supply, erection, testing, and commissioning of 132/55 KV traction substations, sectioning posts (SPs), and sub-sectioning posts (SSPs) in the Bhusaval-Khandwa section.
Last month, RVNL reported a 13.1% year-on-year (YoY) decline in net profit, which stood at ₹311.6 crore for the third quarter ending December 31, 2024. Revenue for the period fell by 2.6% to ₹4,567.4 crore. At the operating level, EBITDA (earnings before interest, tax, depreciation, and amortisation) decreased by 3.9% YoY to ₹239.4 crore. The EBITDA margin remained largely stable at 5.2%.

RVNL share price settled almost a percent higher at ₹326.40 on the NSE. So far this year, the rail PSU stock has corrected almost 24%, while the one-year return on the stock is still positive with over 34% gains. The stock is down nearly 50% from its peak of ₹647, which the scrip hit last August.