Rs 93,492 crore Order Book: This Navratna Railway Company in Focus After Rs 903 Crore Order From SJVN
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The decline has pushed the stock’s year-to-date losses to around 40 per cent, marking its steepest annual decline since its listing in 2019.
✨ Key Takeaways
Shares of Rail Vikas Nigam (RVNL) are likely to remain in focus on Monday, September 7, after the company received a Letter of Award from SJVN Thermal Private Limited (STPL), a wholly owned subsidiary of SJVN, for a Construction project in Bihar.
The order, valued at Rs 903 crore, involves the construction of a permanent siding along with an aerial track connection from the plant boundary to Chausa and Pawani Kamarpur in Buxar, Bihar. The project is part of the 1,320 MW Buxar Thermal Power Project (BTPP) and is scheduled to be completed within 36 months.
RVNL said the order is domestic in nature and falls under the company’s normal course of business. It also clarified that there is no promoter or promoter-group interest in the entity awarding the contract and that the order does not qualify as a related-party transaction.
The latest order comes shortly after another order win for RVNL. On Thursday, the company emerged as the lowest bidder (L1) from East Coast Railway for works related to the execution of a third railway line across the Nergundi-Barang and Khurda Road-Vizianagaram sections on the Bhadrak-Vizianagaram route.
The project covers a total stretch of 385 km, comprising 22 km between Nergundi and Barang and 363 km between Khurda Road and Vizianagaram. The scope of work includes roadbed construction, minor and major bridges, RUBs/LHS, building works, ballast supply, P-Way linking and other allied works. It also includes utility shifting, signalling and telecommunication (S&T), electrification, power supply arrangements, and shifting or modification of HT and LT lines.
The East Coast Railway order is valued at Rs 404.88 crore, including GST, and is scheduled to be completed within 30 months.
Despite securing new orders, RVNL shares have remained under selling pressure, with weak earnings in recent quarters weighing on investor sentiment. The stock extended its losing streak to a fourth consecutive month in August, declining another 7 per cent to Rs 210.
The decline has pushed the stock’s year-to-date losses to around 40 per cent, marking its steepest annual decline since its listing in 2019. The stock had already declined 15.5 per cent in 2025.
RVNL has witnessed a sustained correction since touching its all-time high of Rs 647 in June 2024. From that peak, the stock has fallen around 68 per cent. Despite the sharp correction, the stock remains a strong long-term performer, having gained nearly 608 per cent over the past five years.
Retail investors, however, have continued to show interest in the company. Retail shareholders collectively held an 18.2 per cent stake in RVNL at the end of the June quarter, indicating continued participation despite the recent weakness in the stock.
Disclaimer: The article is for informational purposes only and not investment advice.