Rs 1,00,000+ crore order book: Railway infrastructure company emerges as lowest bidder (L1) order worth Rs 40,41,60,533.80 from Western Railway
DSIJ Intelligence-1 / 03 Oct 2025/ Categories: Multibaggers, Trending
The stock gave multibagger returns of 870 per cent in just 3 years and a whopping 1,700 per cent in 5 years.
Rail Vikas Nigam Ltd (RVNL) has emerged as the Lowest Bidder (L1) for a domestic contract awarded by Western Railway (Ahmedabad Division). This significant contract, valued at Rs 40,41,60,533.80, is for the strengthening of S&T (Signalling and Telecom) maintenance activities by supplying round-the-clock manpower for the repair and upkeep of S&T gears across various locations in the Ahmedabad Division. The order is a service contract to be executed over a period of 24 months.
Earlier, the company emerged as the lowest bidder (L1) for a project from Southern Railway. The project, with an order value of Rs 145,34,66,865.48, is a domestic tender. The work involves the "Design, Supply, Erection, Testing & Commissioning of Traction Sub Stations (Scott-Connected), inclusive of Power Quality Compensating Equipment with associated Switching Posts (SP/SSP) for the 2x25 kV AT Feeding System and SCADA & Automatic Fault Locator (AFL) in the Jolarpettai Jn. - Salem Jn. (JTJ-SA) Section of the Salem Division. This project is a part of the "Mission 3000MT Loading Target" and has a completion timeline of 540 days.
About the Company
Rail Vikas Nigam Ltd, a Navratna company, was established in 2003 by the Government of India for various rail infrastructure projects. The company has delivered good profit growth of 21 per cent CAGR over the last 5 years and has been maintaining a healthy dividend payout of 33.4 per cent. As of June 30, 2025, RVNL has a strong Order Book of Rs 1,00,000+ crore, focusing on railway, metro and overseas projects.
According to Quarterly Results, the net sales decreased by 4 per cent to Rs 3,909 crore and net profit declined by 40 per cent to Rs 134 crore in Q1FY26 compared to Q1FY25. In its annual results, the net sales decreased by 9 per cent to Rs 19,923 crore and net profit increased by 19 per cent to Rs 1,282 crore in FY25 compared to FY24. The company has a market cap of over Rs 72,000 crore and the shares of the company have an ROE of 14 per cent and an ROCE of 15 per cent.
As of June 2024, the President of India owns a 72.84 per cent stake and Life Insurance Corporation of India owns a 6.06 per cent stake. The stock gave multibagger returns of 870 per cent in just 3 years and a whopping 1,700 per cent in 5 years.
Disclaimer: The article is for informational purposes only and not investment advice.