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RVNL Share Price Target 2025

Rail Vikas Nigam Limited (RVNL) was established in 2003 by the Government of India. The company is tasked with implementing various rail infrastructure projects as assigned by the Ministry of Railways (MoR).

These projects include tasks such as doubling of tracks, gauge conversion, new line construction, railway electrification, major bridge construction, workshops, production units, and sharing freight revenue with Indian Railways under a concession agreement with the Ministry of Railways. We predict the RVNL share price target 2025 every month.

RVNL Share Price Target 2025

Based on RVNL’s robust financial performance, ongoing projects, and prospects, we project the RVNL share price target 2025 for each month. This forecast considers the company’s strong order book, successful project completions, and strategic investments.

MonthProjected Share Price (₹)
Jan 2025635
Feb 2025645
Mar 2025655
Apr 2025665
May 2025675
Jun 2025685
Jul 2025695
Aug 2025705
Sep 2025715
Oct 2025725
Nov 2025735
Dec 2025745

Business Overview

RVNL and its subsidiaries are primarily engaged in executing diverse rail infrastructure projects. Their portfolio includes:

  • Doubling of tracks, including the construction of third and fourth lines.
  • Gauge conversion and new line projects.
  • Railway electrification.
  • Construction of major bridges.
  • Setting up workshops and production units.

Revenue Share FY23

RVNL’s revenue in FY23 was segmented into various categories:

  • Non-Metro Projects: Accounted for 83% of the revenue in FY23, compared to 86% in FY20.
  • Metro Projects: Contributed 9% in FY23, up from 4% in FY20.
  • Zonal Railways Projects: Made up 8% of the revenue in FY23, down from 10% in FY20.

Project Completion in FY23

During FY23, RVNL completed and handed over significant projects:

  • New Lines and Doubling: Commissioned 1,343 km of project length, including 119 km of new lines, 925 km of doubling, and 299 km of railway electrification.
  • Metropolitan Transport Projects: Completed 863 km.
  • Railway Electrification: Commissioned 299 route km (681 track km) of railway electrification.
  • Metro Projects: Commissioned the Joka-Taratala (13 km) section of Kolkata Metro and the New Garia-Hemanta Mukherjee (11 km) section of the New Garia-Biman Bandar Section.

Order Book

As of Q3 FY24, RVNL’s order book stood at approximately Rs 65,000 crore. Key components include:

  • Railway Projects: Rs 32,000 crore on a nomination basis.
  • Vande Bharat Orders: Worth Rs 9,000 crore.
  • Metro Projects: Worth Rs 7,000 crore.

Investments

RVNL’s investments as of Q2 FY24 amounted to approximately Rs 2,063 crore, primarily in joint ventures.

Contingent Liabilities

RVNL had contingent liabilities of approximately Rs 3,276 crore due to adjudications in arbitration invoked by contractors and other pending court cases.

Offer for Sale

In July 2023, the Government of India sold a 5.36% stake in RVNL through an offer for sale (OFS). Post this sale, the government’s stake stands at 72.84%.

Quarterly Financial Performance

RVNL’s financial performance over recent years highlights its operational and financial stability. Below is a summary of the quarterly results from March 2021 to March 2024:

QuarterSales (Rs. Crores)Expenses (Rs. Crores)Operating Profit (Rs. Crores)OPM (%)Net Profit (Rs. Crores)EPS (Rs)
Mar 20215,5785,2243546%3441.65
Jun 20213,8693,6412286%2111.01
Sep 20214,0263,7992276%2221.07
Dec 20215,0494,7303196%2821.35
Mar 20226,4386,0304076%3721.78
Jun 20224,6414,3602816%2831.36
Sep 20224,9094,5933166%2991.43
Dec 20225,0114,7362755%3411.64
Mar 20235,7215,3493727%3451.66
Jun 20235,4465,0993486%3341.60
Sep 20234,9104,6132976%3701.77
Dec 20234,6764,4302465%3261.56
Mar 20246,7016,2464557%4332.08

Conclusion

RVNL has shown consistent performance in implementing rail infrastructure projects and maintaining a robust financial standing.

The projected RVNL share price targets 2025 reflect optimism based on current trends and potential future developments.

Investors should consider these projections while making informed decisions regarding RVNL’s stock.

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