Rail Vikas Nigam Ltd on Monday, November 18, said it received the letter of acceptance from South Central Railway for a project worth ₹294.94 crore.

The engineering procurement construction (EPC) contract is for the doubling of track between Navipet station to Indalvai station in Telangana. It also includes the electrification and signaling works of South Central Railway in connection with the Mudkhed=Medchal doubling project.

The contract is estimated to be completed in 24 months.

The company reported its second quarter results last week, revealing a significant decline in profit and a modest dip in revenue.

Its net profit fell 27% to ₹286.9 crore from the previous year's ₹394.3 crore, due to lower operating margins and reduced earnings.

Revenue from operations for the rail PSU declined by 1.2% YoY to ₹4,855 crore, compared to ₹4,914.3 crore in Q2 FY24. EBITDA dropped 9% to ₹271.5 crore, with margins narrowing to 5.6% from 6% in the year-ago period, indicating rising operational pressures

Earlier this month, the company's joint venture with SCPL has emerged as the lowest bidder for an Eastern Railway project worth ₹837.67 crore.

The contract involves earthwork in cutting and filling, blanketing, construction of minor bridges, major bridges, RUB, ROB, retaining wall, level crossing, side drain, catch water drain, ancillary works at a section between Kalipahari and Pradhankhuta in connection with construction of multi-tracking railway BG line, the company said. It is to be completed in 36 months.

RVNL shares were trading 0.58% higher at 421.95 apiece at 2 pm on Monday, November 18. The stock has fallen 11.66% in the past month, but has gained 131.37% this year, so far,

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