Rs 65,000 crore order book and FIIs & DIIs increase stake: This LIC backed multibagger railway stock secures new orders worth Rs 590.37 crore!
Shares of the company grew by more than 250 per cent in the last one year.
Rail Vikas Nigam Limited (RVNL) has scored big with two key infrastructure project wins. In the first, awarded by Central Railway, RVNL will modernize the signalling and telecommunication system on a section near Nagpur. This upgrade to Automatic Block Signaling will enhance safety and efficiency, with a project value of Rs. 47.37 crore and a 12-month completion timeline.
Secondly, RVNL is partnering with URC on a massive project for the Indore Metro Rail. This collaboration involves designing and constructing an elevated viaduct, five stations (Shaheed Bagh, Khajrana Chauraha, Bengali Chauraha, Patrakar Colony, and Palasia Chauraha), and a ramp. This larger project is valued at Rs. 543 crore and has a targeted completion timeframe of 1092 days.
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In Q3FY24, the company posted a 6.44 per cent decrease in its consolidated revenue at Rs 4689.33 crore compared to Rs 5012.09 crore from the previous year’s corresponding quarter. The operating profit of the company stood at Rs 579.74 crore, while the PAT of the company stood at Rs 328.55 crore, from Rs 338.51 crore last year in the same quarter.
RVNL was incorporated in 2003 by the Government of India and is engaged in implementing various types of railway infrastructure projects, including laying new railway lines, railway infrastructure, and gauge conversion. The shares of the company have multibagger returns of more than 250 per cent in the last one year and FIIs and DIIs increased their stake in the company in December 2023 respectively.
The stock has shown impressive growth, and investors should keep a close eye on this stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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