Rail Vikas Nigam Review
Rail Vikas Nigam Limited (RVNL), established under India’s Ministry of Railways, specializes in railway infrastructure development. As one of the stocks to buy today, RVNL handles projects including new lines and power systems. With ongoing projects and government support, it remains among the popular stocks in infrastructure, supported by efficient operation and strategic expansion beyond the railway industry.
Company Name: Rail Vikas Nigam Limited
Ticker Symbol: RVNL
Founded in: New Delhi, India (2003)
Market Cap: Approximately ₹69,223 crore
Share Prices: ₹332.00
P/E Ratio: 58.04
Industry: Construction and Infrastructure
Type: Mid Cap
Updated on October 22, 2025
Overview
Rail Vikas Nigam Limited (RVNL), established on 24 January 2003, is a government-owned public sector undertaking (PSU) under the Ministry of Railways, created to implement the National Rail Vikas Yojana. Its corporate headquarters are located in New Delhi, India.
Rail Vikas Nigam Limited (RVNL) is essential to drive the development of railway infrastructure throughout India, handling turnkey projects like track duplication and electrification of railway lines, construction of new lines, metro projects, major bridges, workshops, and high-speed corridors through its subsidiary (HSRCIL).
The company went public in April 2019 with a well-received IPO and has since been classified as a Navratna PSU. Its share performance has been impressive, rising from its IPO price range of ₹17–19 to touching highs above ₹640 in 2024–2025. As of October 22, 2025, the current price of RVNL stands at ₹332.00.
This growth has been driven by consistent project execution, strong earnings, and investor confidence. RVNL continues to attract attention as one of the stocks to buy today due to its strategic role in India’s transport infrastructure expansion and its steady financial performance.
PSU (Public Sector Undertaking): a government-owned corporation or company in India.
The Indian government classifies its PSUs into different categories based on their performance and strategic importance:
– Maharatna (highest tier)
– Navratna (middle tier)
– Miniratna (further divided into Category I and Category II)
Timeline Expansion of Rail Vikas Nigam Limited (RVNL)
Rail Vikas Nigam Limited (RVNL) has experienced significant growth since its establishment. Our RVNL review examines this journey:
- 2003: RVNL was formed as a PSU under the Ministry of Railways to fast-track rail projects, improving execution efficiency and enhancing India’s transport infrastructure.
- 2013: Awarded Miniratna status, RVNL gained financial and operational freedom, allowing quicker project decisions and boosting its credibility.
- 2019: Listing on stock exchanges increased transparency, attracted investor funds, and aligned with the government’s disinvestment goals.
- 2024: RVNL entered international markets with subsidiaries in Saudi Arabia and Uzbekistan, expanding India’s rail expertise globally and diversifying revenue.
- 2025: Received Excellence in Project Management award for outstanding rail infrastructure execution and secured major contracts, including 27 bridges for East Coast Railway, demonstrating continued project growth and operational excellence.
Products & Services of Rail Vikas Nigam Limited (RVNL)
Rail Vikas Nigam Limited (RVNL) is essential in upgrading and expanding India’s railway infrastructure. Its operations span across all key areas of rail project execution—from laying new tracks to modernizing stations, ensuring smoother, faster, and more sustainable travel. Here’s a deeper look at its core services:
- New Line Construction: Builds new railway lines to connect underserved regions and support regional development.
- Doubling & Gauge Conversion: Expands single tracks into double tracks and standardizes gauges to increase the space and improve systems.
- Electrification: Replaces diesel trains with electric trains to reduce pollution, lower costs, and increase train speed.
- Metro Projects: Build city train systems in Nagpur and Pune to reduce traffic and allow convenient transportation.
- Station Redevelopment: Improves important stations like Gorakhpur and Jabalpur with upgraded facilities and passenger-friendly infrastructure.
- Upcoming Projects: Currently working on the ₹3,445 crore Wardha–Nanded railway in Maharashtra and a new connection to Amaravati, Andhra Pradesh, to improve travel between different states.
Subsidiaries of Rail Vikas Nigam Limited (RVNL)
RVNL company operates through targeted subsidiaries in India and internationally, expanding its footprint from high-speed rail development to infrastructure partnerships across Central Asia and the Middle East.
Domestic Subsidiaries:
- High Speed Rail Corporation of India Limited (HSRC): Incorporated in 2012 as an SPV subsidiary of RVNL, HSRC focuses on implementing high-speed rail projects within India.
- Kinet Railway Solutions Ltd.: A private company incorporated by RVNL to act as an SPV for signing manufacturing and maintenance agreements with the Ministry of Railways.
- Kyrgyzindustry-RVNL: A 50:50 joint venture with Kyrgyzindustry, established to develop rail, road, and other infrastructure in Kyrgyzstan.
International Subsidiaries:
- Company Rail Vikas Nigam Ltd. (One Partner): Established in Saudi Arabia in October 2024 to expand RVNL’s presence in the Middle East.
- Rail Vikas Nigam LLC: Incorporated in Uzbekistan in August 2024, marking RVNL’s expansion into Central Asia.
- Dubai Subsidiary: Incorporated in June 2024 to strengthen RVNL’s foothold in the UAE.
Profit & Loss of Rail Vikas Nigam Limited (RVNL)
Our RVNL review includes the following concise five-year profit and loss summary for the Rail Vikas Nigam Limited company’s performance:
| Fiscal Year | Revenue (₹ Crore) | Profit After Tax (PAT) (₹ Crore) | Profit Growth (%) |
|---|---|---|---|
| 2020-21 | 15,403.65 | 940.55 | 19.1 |
| 2021-22 | 19,381.71 | 1,087.21 | 15.6 |
| 2022-23 | 20,281.57 | 1,267.97 | 16.6 |
| 2023-24 | 21,732.58 | 1,462.95 | 15.4 |
| 2024-25 (Approx.) | ~22,000–22,500 | ~1,500–1,550 | ~ 3.6 |
* Profit Growth (%) is calculated based on the year-over-year growth in PAT.
* FY 2024-25 figures are estimates based on recent quarterly trends and analyst consensus, as the final audited numbers are not yet published
* Updated on May 15, 2025
Rail Vikas Nigam Limited (RVNL) has demonstrated a consistent upward trend in both revenue and profitability over the past five fiscal years. From FY 2020-21 to FY 2023-24, revenue increased from ₹15,403 crore to ₹21,732 crore, reflecting robust project execution and expansion. Profit after tax (PAT) rose from ₹940 crore to ₹1,462 crore during the same period, showing strong earnings growth. However, the profit growth rate has slightly decreased, declining from 19.1% in FY21 to around 15.4% in FY24. For FY 2024-25, projections indicate steady revenue (₹22,000–22,500 crore) and profit (₹1,500–1,550 crore), with a lower estimated profit growth rate of just 3–6%, suggesting a possible phase of stabilization or margin pressure.
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Is Rail Vikas Nigam Limited (RVNL) a Good Investment?
Rail Vikas Nigam Limited (RVNL), based on our RVNL review, can be considered an attractive option for long-term infrastructure-focused investors, especially those interested in government-backed growth. As a Miniratna PSU, its steady revenue from large-scale railway projects and electrification drives ensures a consistent pending projects.
Factors that might cause Rail Vikas Nigam Limited (RVNL) share price to rise include government policies that support railway expansion, budget allocations for infrastructure, new domestic and international project achievements, and strong quarterly financial results.
However, the RVNL’s share price may fall due to delays in project implementation, regulatory obstacles, rising raw material costs, or broader market volatility impacting PSU sentiment. Additionally, limited diversification beyond the railway sector might make it sensitive to shifts in national infrastructure priorities.
Disclaimer
This content is informational only and not financial advice. Investing in RVNL or any stock carries market risk. Past performance doesn’t predict future results. Research independently or consult a certified financial advisor before making an investment.
FAQs
Rail Vikas Nigam Limited (RVNL) is a public sector enterprise under the Ministry of Railways, responsible for implementing railway infrastructure projects across India, including new lines, electrification, and gauge conversion.
Yes, RVNL is a government-owned entity, classified as a Navratna (middle tier) company under the Ministry of Railways, Government of India.
Yes, RVNL is listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE), allowing public investment in its shares.
RVNL is responsible for the execution of railway infrastructure projects, including track laying, bridges, electrification, and modernization, to support the expansion and efficiency of Indian Railways.
RVNL earns revenue through project execution for Indian Railways, consultancy services, and infrastructure development, funded by the government and public-private partnerships.