Rail Vikas Nigam Ltd. (RVNL) has signed a letter of agreement (LoA) for an order worth ₹143.3 crore from South Central Railway. The contract pertains to upgrading work of the electric traction system of Salem division of Southern Railway, a stock exchange filing said on July 5.In particular, the work involves upgrading the electric traction system from 1×25 kV to 2×25 kV traction system for Salem Junction – Podanur Junction & Irugur – Coimbatore Junction -Podanur Junction. With the updated system, Southern Railway will be able to meet the 3,000 MT loading target, according to the update.
The cost of the work is ₹143.3 crore including taxes and the contract is to be completed within 24 months.
On 30 June, the company emerged as the lowest bidder for an order worth ₹213.22 crore from South Central Railway. In May, the state-run company reaffirmed its revenue guidance of ₹20,000 to ₹22,000 crore for the ongoing fiscal, despite a subdued FY25 performance.“We are expecting to achieve the FY26 revenue guidance because some of the large projects we secured through bidding are now under execution,” MP Singh, Director of Operations at RVNL, told CNBC-TV18 in May.
The cost of the work is ₹143.3 crore including taxes and the contract is to be completed within 24 months.
On 30 June, the company emerged as the lowest bidder for an order worth ₹213.22 crore from South Central Railway. In May, the state-run company reaffirmed its revenue guidance of ₹20,000 to ₹22,000 crore for the ongoing fiscal, despite a subdued FY25 performance.“We are expecting to achieve the FY26 revenue guidance because some of the large projects we secured through bidding are now under execution,” MP Singh, Director of Operations at RVNL, told CNBC-TV18 in May.
Shares of the company closed flat at ₹391.2 on Friday, July 4, at the NSE.
