Rs 3,346.35 crore order book: Railway Kavach Stock Hit Upper Circuit After Receiving Approval from RDSO for version 4.0 of the Kavach System

DSIJ Intelligence-1 / 14 Oct 2025/ Categories: Multibaggers, Trending

Rs 3,346.35 crore order book: Railway Kavach Stock Hit Upper Circuit After Receiving Approval from RDSO for version 4.0 of the Kavach System

The stock has given multibagger returns of 117 per cent from its 52-week low of Rs 625.55 per share and a whopping 7,840 per cent in 5 years. 

On Tuesday, shares of Kernex Microsystems (India) Ltd hit a 10 per cent Upper Circuit to Rs 1,357.40 per share from its previous closing of Rs 1,234 per share. The stock’s 52-week high is Rs 1,584 while its 52-week low is Rs 625.55. The shares of the company saw a Spurt in Volume by more than 20 times on the BSE.

Kernex Microsystems (India) Limited announced that it has received a crucial approval from the Research Designs and Standard Organization (RDSO) for Version 4.0 of the Kavach System on October 14, 2025. This significant milestone enables Kernex to commence deliveries of the latest version of the indigenous Automatic Train Protection (ATP) system against its substantial backlog. The company and its consortium/JV partners have accumulated orders for Kavach System (Version 4.0) with an aggregate value of Rs 3,346.35 Crores (including GST) received from April 1, 2024, to date, ensuring strong revenue visibility as it begins fulfilling these large contracts.

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About the Company

Kernex Microsystems (India) Ltd, established in 1991, is a leading provider of safety systems and software services for the Railway industry. The company, an ISO 9001:2015 certified export-oriented unit, specialises in delivering turnkey electronic systems and technical support. Their product and service offerings encompass a wide range of solutions, including anti-collision devices, train collision avoidance systems, automatic level crossing gates, signalling systems, headway improvement technologies, and water management solutions. Kernex Microsystems leverages its expertise in wireless front-end, satellite communication, embedded systems, signal processing, network management, and software development to provide innovative and reliable solutions to the railway industry.

In its Quarterly Results, the net sales increased by 95 per cent to Rs 55.93 crore and net profit increased by 108 per cent to Rs 7.41 crore in Q1FY26 compared to Q1FY25. In its annual results, the net sales increased by 850 per cent to Rs 190 crore in FY25 compared to FY24. The company reported a turnaround net profit of Rs 50 crore in FY25 compared to a net loss of Rs 27 crore in FY24, an increase of 285 per cent.

The company has a market cap of Rs 2,275 crore and its Order Book as of October 14, 2025, stands at Rs 3,349.95 crore. According to the shareholding of the company, the promoters own 28.97 per cent stake, FIIs own 0.52 per cent stake, DIIs own 1.11 per cent stake, the Government own 0.06 per cent stake and the rest of the stake is owned by the public i.e., 69.34 per cent. The stock has given multibagger returns of 117 per cent from its 52-week low of Rs 625.55 per share and a whopping 7,840 per cent in 5 years. 

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