Rs 1,00,000 crore order book: Railway infrastructure company signed MoU with Mr. Ashraf Gulam Mohmed Theba, Oman

DSIJ Intelligence-1 / 24 Jul 2025/ Categories: Multibaggers, Trending

Rs 1,00,000 crore order book: Railway infrastructure company signed MoU with Mr. Ashraf Gulam Mohmed Theba, Oman

The stock gave multibagger returns of 180 per cent in just 2 years and a whopping 1,800 per cent in 5 years.

Rail Vikas Nigam Limited (RVNL) has signed a Memorandum of Understanding (MoU) with Mr. Ashraf Gulam Mohmed Theba from Oman. The primary objective of this MoU is to establish a cooperative framework between the parties for business development, market research and analysis, and company representation within the Sultanate of Oman. This collaboration aims to explore and leverage opportunities in the Omani market for RVNL.

Earlier, RVNL received a Letter of Acceptance (LOA) from Delhi Metro Rail Corporation Limited for "Contract D2C-02." This domestic contract, valued at Rs 447,42,48,757.33, involves the part design and construction of a 7.298 km viaduct for the Delhi MRTS Phase-IV Project. The scope includes seven station platforms: Pushp Vihar, Saket District Court, Pushpa Bhawan, Chirag Delhi, GK-1, Andrews Ganj, and Lajpat Nagar, with pre-engineered building structures at all stations along the Lajpat Nagar to Saket G block corridor. The project is expected to be executed within 36 months.

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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 March 31, 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 6,4276 crore and net profit declined by 4 per cent to Rs 459 crore in Q4FY25 compared to Q4FY24. 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 78,000 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 180 per cent in just 2 years and a whopping 1,800 per cent in 5 years.

Disclaimer: The article is for informational purposes only and not investment advice.