Rail Vikas Nigam Limited was incorporated in 2003 by the Government of India and is engaged in the business of implementing various types of Rail infrastructure projects assigned by the Ministry of Railways, including doubling, gauge conversion, new lines, railway electrification, major bridges, workshops, Production Units, and sharing of freight revenue with Railways as per the concession agreement entered into with the Ministry of Railways. Rail Vikas Nigam Limited (RVNL), a public sector enterprise under the Ministry of Railways and the construction wing of the Indian Railways, was incorporated on January 24, 2003.
The company was established following Prime Minister Atal Bihari Vajpayee's announcement of the National Rail Vikas Yojana (NRVY) on August 15, 2002, and under the NRVY roadmap, RVNL was established as a 100% government-owned public sector undertaking (PSU). RVNL commenced full operations in March 2005. A major player in the railway infrastructure sector, RVNL holds the status of a navratna and launched its initial public offering (IPO) on March 29, 2019, becoming the third railway PSU to go public, following Rail India Technical and Economic Service (RITES).
Rail Vikas Nigam Limited (RVNL) is an India-based company that is engaged in the development of rail infrastructure and is in the business of implementing various types of rail infrastructure projects, gauge conversion, new lines, railway electrification, bridges, workshops, and production units. It undertakes and executes the project development, financing, and implementation of projects related to rail infrastructure, executing all types of railway projects including new lines, doubling, gauge conversion, railway electrification, metro projects, workshops, major bridges, construction of cable-stayed bridges, and institutional buildings. It works on a turnkey basis and undertakes the full cycle of project development from conceptualization to commissioning, including stages of design, preparation of estimates, calling contracts, project, and contract management.
Rail Vikas Nigam Ltd. engages in the development and construction of railway infrastructure, and the firm also provides vital port linkage, including the corridors connecting the port of Hinterlands. It serves Indian Railways, various central and state government ministries, departments, and public sector undertakings.
Market Capitalization and Stock Performance:
Rail Vikas Nigam has a market capitalization of ₹81,608 Crore as of recent data, though it has declined by 20.3% in the past year. The market cap of Rail Vikas Nigam Ltd (RVNL) is ₹81,868.31 Crore as of July 3, 2025. The 52-week high of Rail Vikas Nigam Ltd (RVNL) is ₹647, and the 52-week low is ₹305.
Recent Financial Results (Q4 FY25):
Rail Vikas Nigam Ltd (RVNL) reported a consolidated net profit of ₹459.15 Crore for the quarter ended March 31, 2025 (Q4 FY25), registering a decline of nearly 4% from ₹478.56 Crore in the same period last year (Q4 FY24). However, on a sequential basis, the PSU's profit surged 47% from ₹311.44 Crore reported in Q3 FY25. Revenue from operations in Q4 FY25 stood at ₹6,426.88 Crore, marginally lower than ₹6,714.01 Crore in Q4 FY24.
Key Financial Metrics:
* Revenue (FY25): ₹19,923 Crore
* Net Profit (FY25): ₹1,282 Crore
* Promoter Holding: 72.8% as of recent data
* Dividend: ₹1.72 per equity share for FY25 (17.2%), subject to shareholder approval
* P/E Ratio: 63.89 (as of July 2025)
* P/B Ratio: 9.36 (as of July 2025)
Rail Vikas Nigam Ltd anticipates an annual turnover of ₹28,000-30,000 Crore and secured new orders worth ₹6,600 Crore in Q4 FY25, showcasing strong growth potential. Q4 FY25 saw a strong order inflow of ₹6,600 Crore, with year-to-date (YTD) FY25 total order inflows reaching ₹13,700 Crore.
The company has recently secured several significant contracts, including infrastructure projects from Central Railway and National Highways Authority of India (NHAI). Rail Vikas Nigam Ltd has signed a memorandum of understanding with Texmaco Rail & Engineering Ltd to collaborate on modernizing India's railway infrastructure, focusing on manufacturing, maintenance, and innovation.
The railway backbone of India, RVNL (Rail Vikas Nigam Limited) was incorporated in 2003 by the Ministry of Railways, and the company primarily sets up new rail lines, upgrades existing tracks, electrifies routes, and develops metro systems. Along with laying tracks, RVNL is also powering India's infrastructure revolution, from helping Indian Railways go green with electrification to supporting local manufacturing under 'Make in India', the company is making big strides for the country.
In FY 2022-23, RVNL accomplished the commissioning of 1,044 km of new line and doubling, surpassing the 1,000-kilometer benchmark for the second consecutive year. Rail Vikas Nigam Limited (RVNL) secured the 94th rank among the Fortune 500 companies in India, as per the list released in December 2022.
RVNL stands as a critical player in India's railway infrastructure development, benefiting from the government's continued focus on modernizing the country's transportation network. These orders align with RVNL's annual project execution range of ₹20,000 – ₹22,000 Crore. The company's diversified project portfolio spanning new lines, electrification, metro systems, and bridges positions it well to capitalize on India's infrastructure growth story.
With its strong order book, government backing, and strategic importance in India's rail development plans, RVNL continues to be a significant player in the infrastructure sector, though investors should note the recent challenges in revenue growth and profitability metrics when considering investment decisions.
