RVNL’s share price jumped back in the green on Wednesday morning going up over 3% to hit an intraday high of ₹162.90
What Happened: The government-owned railway company on Monday evening announced that it has been awarded a letter of acceptance for a ₹311.17 crore order from the Central Railway. This order pertains to the construction of tunnels and bridges in Madhya Pradesh.
As per the contract, RVNL is tasked with building four tunnels with a combined length of 1.6 km, incorporating a ballastless track, earthwork in formation, and 28 bridges. The scope of work also includes the supply of stone ballast, track linking, side drain retaining wall, and more in the Dharak region. The contract is to be executed in 18 months.
Earlier this month, the railway company posted its results for the quarter ended September 2023. RVNL reported a 3.5% increase in its consolidated net profit, reaching ₹394.4 crore compared to the ₹381.2 crore profit posted in the same period the previous year. However, the company’s revenue from operations remained flat at ₹4,914.32 crore compared to the corresponding period last year.
Price Action: RVNL’s share price was up 2.87% to trade at ₹161.40 as the market opened on Wednesday morning.
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