Shares of Rail Vikas Nigam Ltd (RVNL) jumped by about 5% on 6 November after the company, along with Rithwik Projects Pvt Ltd (RPPL), was selected as the lowest bidder (L1) for a significant contract with Rail Infrastructure Development Company (Karnataka) Ltd.

The Rs 613 crore contract that was granted is a major component of Package C4A’s Bengaluru Suburban Rail Project (BSRP). Nine stations—eight at-grade and one elevated—will be constructed along Corridor-4A as part of this package. The project entails building stations in the following locations: Bellandur, Marathahalli, Doddanakundi, Huskur, Ambedkar Nagar, Heelalige, Singena Agrahara, and Kaggadasapura.

Along with electrical and mechanical (E&M) installations, the work entails civil, structural, and architectural responsibilities. The project will be split 51:49 among the JV partners, with RVNL owning the majority.

The project is expected to be finished within 24 months.

Compared to the same period last year, when its net profit was Rs 343.09 crore, RVNL’s June quarter net profit dropped 34.7% to Rs 223.92 crore. Revenue from operations for the Ministry of Railways’ construction division also decreased 26.9% to Rs 4,073.8 crore from Rs 5,571.57 crore in the same quarter last year.

At 11:40 am, the shares of RVNL were trading 3.42% higher at Rs 466.30 on NSE.

Tired of missing hot stocks? Unicorn Signals provides powerful tools like stock scans and more help you make informed trading decisions. Download now and take control of your portfolio!