Mumbai, Sept. 2 -- Chairman & Managing Director Saleem Ahmad told shareholders the company will remain focused on disciplined, relentless execution.

Rail Vikas Nigam Ltd (RVNL) announced at its 23rd Annual General Meeting (AGM) for FY2025-26 that it has entered a new phase of growth, balancing its railway legacy with expansion into new infrastructure domains.

Addressing the AGM on December 25, Saleem Ahmad, Chairman & Managing Director, RVNL, highlighted the company's strategic transition, marked by a rebalanced order book, entry into rolling stock manufacturing, execution of national-scale telecom infrastructure, and expansion into projects secured through competitive bidding. Ahmad emphasised that RVNL's focus going forward would remain on disciplined and relentless execution.

Financial Performance

During FY2025-26, RVNL recorded a standalone turnover of Rs.200.12 billion, with profit before tax of Rs.11.02 billion and profit after tax of Rs.8.00 billion. The board recommended a final dividend of Rs.1.48 billion, taking the total dividend for the year to Rs.3.57 billion.

RVNL commissioned 173.82 km of railway infrastructure, including the 150.28 km Phephna-Indara-Mau-Shahganj section, and 173 km of electrification with substations, switching posts, and supervisory control and data acquisition (SCADA) systems. It also completed 23 km of tunnel excavation in challenging terrain, progressed on major hill railway projects, and commissioned 19 workshop projects.

In Kolkata, RVNL delivered 4.4 km of metro line, taking its operational contribution to 17.5 km. Work has commenced on tunnelling towards Victoria Metro Station, while communications-based train control (CBTC) has been implemented over 18.5 km. In Indore, 5.9 km of viaduct and five elevated metro stations were inaugurated in May 2025.

Technology Backbone

RVNL strengthened signalling and communication systems, commissioning or upgrading electronic interlocking at 48 stations and completing 2,195.7 km of fibre optic and six-quad cable network. Under BharatNet, it delivered 5,700 km of fibre optic network for BSNL in Uttar Pradesh.

The company entered rolling stock manufacturing with Transmashholding (TMH) to produce 120 Vande Bharat trainsets, with the prototype expected this fiscal. In renewables, RVNL contributed to commissioning a 250 MW solar plant in Uzbekistan.

Diversification Through Bidding

RVNL secured projects worth Rs.57.78 billion through competitive bidding in FY2025-26, taking cumulative bidding-based orders to Rs.599.87 billion. A major addition was a Rs.27.30 billion order from the government-owned miner, NMDC Ltd.

Strategic MoUs were signed with Texmaco Rail & Engineering Ltd and the Government of Goa to expand into rolling stock, metro, engineering, procurement and construction (EPC) contracts, and other infrastructure. RVNL also established five joint venture special purpose vehicles (SPVs) for rail connectivity projects, contributing equity of Rs.15.45 billion against projects valued at Rs.129.95 billion. These SPVs handled 48,191 loaded rakes and 135.05 million tonnes of freight.

International Expansion

RVNL's execution capabilities are supported by 27 Project Implementation Units across 23 locations. Looking ahead, the company is targeting new work orders of around Rs.200 billion this year, with Rs.50 billion already secured in the first quarter. Revenue is projected to grow 15 per cent, with profit expected to rise 15-20 per cent.

Published by HT Digital Content Services with permission from Infrastructure Today.