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RVNL, IRCTC, IRFC: How railway PSU stocks are faring amid weak market; what lies ahead?
8 min read | Updated on August 14, 2026, 12:08 IST
SUMMARY
Indian Railways is poised for sustained long-term growth, supported by a record capital expenditure allocation of ₹2.93 trillion (US$ 32.56 billion) in Union Budget 2026–27 and continued investments in network expansion, safety, and high-speed connectivity.
The Nifty India Railways PSU Index aims to track the performance of PSUs from the Nifty 500. Image: Pexels
Shares of most railway public sector undertaking (PSU) stocks were trading lower on Friday, August 14, amid a weak market.
At 11:19 AM, the NIFTY INDIA RAILWAYS PSU index was trading 0.74% lower at 2,881.85 levels, with 15 out of 17 constituents declining and 2 advancing.
What is the NIFTY INDIA RAILWAYS PSU index?
The Nifty India Railways PSU Index aims to track the performance of PSUs from the Nifty 500 which are either owned by the Ministry of Railways (classified as core group) or cater to the Indian Railways (classified as non-core group).
The index has a base date of April 01, 2021, with a base value of 1000. The index is reconstituted semi-annually and rebalanced quarterly.
The aggregate weight of stocks belonging to the core group is capped at 80%, and the aggregate weight of stocks belonging to the non-core group is capped at 20%. The weight of each stock is capped at 20%.
How railway stocks are performing today
Among constituents, Steel Authority of India (SAIL) shares were down 0.63% at ₹167.62 apiece on the NSE, while Container Corporation of India (CONCOR) traded 0.19% lower at ₹532.65. Indian Railway Catering and Tourism Corporation Limited (IRCTC) shares were down 1.32% at ₹497.80 apiece on the NSE.
BEML traded 1.18% lower at ₹1,888 on the NSE; Ircon International shares traded 0.63% lower at ₹125.11 apiece on the NSE.
| Company | Open | High | Low | Prev. Close | LTP | Change | % Change |
|---|---|---|---|---|---|---|---|
| SAIL | 167.99 | 168.49 | 158.73 | 168.68 | 167.09 | -1.59 | -0.94% |
| BHEL | 419.95 | 430.00 | 416.55 | 420.00 | 422.20 | 2.20 | 0.52% |
| Hindustan Petroleum (HPCL) | 374.00 | 374.95 | 372.00 | 373.65 | 372.70 | -0.95 | -0.25% |
| Bharat Petroleum (BPCL) | 314.85 | 318.35 | 314.05 | 315.00 | 318.00 | 3.00 | 0.95% |
| ONGC | 239.49 | 239.60 | 236.34 | 239.90 | 236.42 | -3.48 | -1.45% |
| Bharat Electronics (BEL) | 410.45 | 411.20 | 408.25 | 410.50 | 408.95 | -1.55 | -0.38% |
| Container Corporation of India (CONCOR) | 535.00 | 543.70 | 530.55 | 533.65 | 532.75 | -0.90 | -0.17% |
| NTPC | 343.65 | 343.65 | 338.20 | 344.25 | 338.50 | -5.75 | -1.67% |
| Mangalore Refinery & Petrochemicals (MRPL) | 173.81 | 176.69 | 170.74 | 174.38 | 171.67 | -2.71 | -1.55% |
| Rail Vikas Nigam (RVNL) | 228.00 | 228.92 | 225.55 | 228.15 | 226.30 | -1.85 | -0.81% |
| Indian Railway Catering & Tourism Corp (IRCTC) | 504.45 | 507.25 | 495.30 | 504.45 | 497.80 | -6.65 | -1.32% |
| BEML | 1,915.00 | 1,925.70 | 1,880.00 | 1,910.60 | 1,883.30 | -27.30 | -1.43% |
| Indian Railway Finance Corp (IRFC) | 88.20 | 88.50 | 87.50 | 88.35 | 87.72 | -0.63 | -0.71% |
| Ircon International | 125.70 | 126.25 | 124.65 | 125.90 | 125.25 | -0.65 | -0.52% |
| ITI | 280.00 | 284.95 | 274.00 | 281.40 | 276.00 | -5.40 | -1.92% |
| RailTel Corporation of India | 284.00 | 285.80 | 282.10 | 285.20 | 282.50 | -2.70 | -0.95% |
| RITES | 224.39 | 225.56 | 222.00 | 224.46 | 222.51 | -1.95 | -0.87% |
| Open | High | Low | Prev. Close | LTP | Change | % Change |
|---|---|---|---|---|---|---|
| 2,901.85 | 2,907.75 | 2,877.10 | 2,902.75 | 2,882.55 | -20.20 | -0.70% |
Recent updates to know
The Indian Railways transported 419.08 million tonnes of freight in the first quarter (April-June) of the 2026-27 fiscal year (Q1 FY27), registering a growth of 1.46% compared to the corresponding period during the previous financial year, according to the railway ministry.
In the first quarter of FY 2025-26, the railways carried 413.05 million tonnes of freight.
"The quarter (Q1 FY 2026-27) also witnessed encouraging growth across several key commodity segments, with Iron Ore loading increasing by 7.44%, Clinker by 6.54%, and Balance & Other Goods by 12.16% over the corresponding period of the previous year," a Ministry of Railways press note said.
Highlighting strong performance by the railways during June, officials said this built upon the sustained growth recorded during the first quarter of FY 2026-27.
"Indian Railways loaded 142.21 million tonnes of freight during June 2026, compared to 136.71 million tonnes in the corresponding month last year, registering a growth of 4%," the ministry stated.
"Freight earnings also recorded healthy growth, generating an additional revenue of about ₹430 crore, an increase of 3% over June 2025," it added.
Several major commodities that registered encouraging growth during June were fertiliser, with loading increasing by 19.1%; Balance & Other Goods, by 17.3%; Iron Ore, by 9.4%; Domestic Coal, by 4.9%; Total Coal, by 3.6%; and Clinker, by 7.2%.
Indian Railways: The road ahead
Indian Railways is poised for sustained long-term growth, supported by a record capital expenditure allocation of ₹2.93 trillion (US$ 32.56 billion) in Union Budget 2026–27 and continued investments in network expansion, safety, and high-speed connectivity.
Ongoing initiatives such as multitracking projects, station redevelopment under the Amrit Bharat Station Scheme, 100% electrification efforts, and capacity augmentation through dedicated freight corridors are expected to significantly enhance operational efficiency, reduce logistics costs, and improve passenger experience.
The continued rollout of Vande Bharat sleeper trainsets and progress on the Mumbai–Ahmedabad Bullet Train project further reinforce the sector’s transition towards modern, technology-driven rail infrastructure, notes an article by India Brand Equity Foundation.
Rising investments in digitalisation, AI-led safety systems, startup-led innovation, and integrated cargo terminals under the PM Gati Shakti framework are likely to improve service reliability and network efficiency.
How key names fared in Q1 FY27
The Navratna PSU’s consolidated net profit remained mostly flat year-on-year (YoY), down 0.2% to ₹330 crore during the quarter under review, compared with ₹331 crore in the first quarter of the 2025-26 fiscal year (Q1 FY26).
However, its consolidated revenue from operations jumped 18% YoY to ₹1,369.5 crore in the June quarter of FY27, as against ₹1,160 crore in the corresponding period of the preceding fiscal year, according to a regulatory filing.
Its EBITDA margin contracted by 601 basis points (bps) YoY to 28.2% for the quarter, from 34.3%.
Bharat Electronics
Bharat Electronics’ (BEL) board of directors posted its April to June quarter results for the financial year 2026-27 on Monday, July 27, where the company witnessed a healthy growth in consolidated profits with major support from the overall increase in revenues for the period.
The company posted a 9% increase in its consolidated net profit to ₹1,054.34 crore in the first quarter of the financial year 2026-27, compared year-on-year (YoY) with ₹969.91 crore in the same period a year earlier.
The company’s revenue from core operations surged 25% YoY to ₹5,546.98 crore in the June quarter of the current fiscal year, compared with ₹4,439.74 crore in the same period a year earlier.
The details further showed that BEL’s order book position as of July 1, 2026, was at ₹72,258 crore, according to the exchange filing.
BEML
The PSU narrowed its consolidated net loss to ₹27.01 crore in the June quarter of FY27, helped by increased revenues.
It had reported a net loss of ₹64.11 crore in the first quarter of the preceding 2025-26 fiscal, the company said in an exchange filing on Friday.
BEML's revenue from operations came in at ₹819.62 crore, up 29.2% from ₹633.99 crore logged in the year-ago period.
During the quarter, the total income increased 27.7% YoY to ₹821.19 crore from ₹642.56 crore a year ago.
In a separate statement, BEML said it secured orders worth ₹1,181 crore in Q1 FY27 as compared to ₹435 crore a year ago.
With this, BEML's total order book stood at ₹16,284 crore as of June 30, 2026, providing strong revenue visibility and a robust foundation for sustained growth.
IRFC
The Indian Railway Finance Corporation (IRFC) reported a 10% growth in net profit to ₹1,927 crore for the first quarter of the current financial year (Q1 FY27) on improved core income.
The NBFC, under the administrative control of the Ministry of Railways, had earned a net profit of ₹1,746 crore in the year-ago period.
The company's total income rose to ₹8,391 crore in the April-June period from ₹6,918 crore a year ago, IRFC said in a regulatory filing.
However, the interest income declined to ₹1,148 crore as against ₹1,497 crore in the same period a year ago.
Lease income during the quarter improved to ₹7,094 crore from ₹5,404 crore in the year-ago period.
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