RVNL share price zooms nearly 13% on securing ₹554 crore Bengaluru Suburban Rail Project

The stock rose as much as 12.88% to ₹376.3 apiece on the National Stock Exchange (NSE). At 10:50 am, it was up 10.48% to ₹368.3 per unit.

In an exchange filing, RVNL informed that it has received a letter of acceptance (LoA) from Rail Infrastructure Development Company (Karnataka) Limited (K-RIDE) for the Bengaluru Suburban Rail Project (BSRP).

"A Letter of Acceptance has been received from Rail Infrastructure Development Company (Karnataka) Limited (K-RIDE) for Package C4A: Construction of Nine (9 Nos.) Stations i.e. Elevated (1 No.) and At-Grade (8 Nos.) BSRP Stations of Corridor-4A at Heelalige, Singena Agrahara, Huskur, Ambedkar Nagar, Carmelaram, Bellandur, Marathahalli, Doddanakundi, Kaggadasapura including Civil, Structural, Entry / Exit Structure, Steel FOB, Roof Structures, PEB works Architectural finishes and E&M Works and Detailed Design & Engineering (DOC) with all associated works for Bengaluru Suburban Rail Project" (BSRP)," the regulatory filing said.

The cost of the project, which will be executed in 24 months, is ₹554.46 crore.

The order is not considered a related party transaction. The promoters also have no interest in the entity that awarded the project, the company said..

RVNL Q3 results

The railway infrastructure company's consolidated profit after tax (PAT) declined 13.14% to ₹311.44 crore in the latest December quarter, compared to ₹358.57 crore in the year-ago quarter.

Revenue from operations fell 2.6% year-on-year (YoY) to ₹4,567.38 crore in the quarter under review. Total expenses also fell 2.27% YoY to ₹4,480.08 crore.

EBITDA (Earnings before interest, tax, depreciation, and amortisation) decreased 3.9% to ₹239.4 crore in Q3 FY25 as against ₹249 crore in the third quarter of FY24. The EBITDA margin was at 5.2% vs 5.3% in the same period in the previous fiscal.