RVNL Wins ₹137 Crore Rail Project to Boost Central Railway Infrastructure

30 Dec 2024 , 11:07 PM

Rail Vikas Nigam Ltd (RVNL), a state-owned undertaking, said on Dec 30 that Central Railway has awarded the mega infrastructure project to it with L1 status. The project deals with the design, supply, erection, testing, and commissioning of 132/55 KV traction substations, sectioning posts, and sub-sectioning posts.

It is focused upgradation work of a 2×25 KV traction system in the Bhusaval-Khandwa section designed with Scott connected transformers, aimed at achieving the loading of 3,000 MT. The contract amount amounts to ₹137.17 crore, inclusive of taxes and will be issued through an EPC basis. RVNL agreed to complete the work within two years.

Although the tendering entity has secured this deal, however, RVNL’s bottomline slips to ₹286.9 crore for Q2 FY25 from ₹394.3 crore in the same period last year, down 27% YoY. Revenue of operations declined by 1.2% YoY to ₹4,855 crore from ₹4,914.3 crore in Q2 FY24.

EBITDA slipped 9% at ₹271.5 crore with the margin coming in at 5.6% from 6% a year ago-the operative woes seem to be piling up. Sequentially, QoQ, the company’s net profit increased, and the rise was 28.1% as the revenue improved 19.2%. Tax expenses declined by 0.5% YoY but jumped 17.2% QoQ to ₹4,731.5 crore during the quarter.