Speaking to CNBC-TV18, MP Singh, Director of Operations at RVNL, said, “We are expecting to achieve the FY26 revenue guidance because some of the large projects we secured through bidding are now under execution.” The same guidance was given for FY25, but the company fell short due to a weak first half of the year.
A key driver of optimism is the strong momentum from projects secured through competitive bidding. “In FY25, revenue growth from such projects was around 68%,” Singh said, adding that these projects—including BharatNet, metro infrastructure, and RDSS—have now entered the mid-phase of execution, typically when revenue flow picks up.
RVNL currently has an order book of ₹97,000 crore, of which nearly ₹50,000 crore comes from new-age projects won via bidding. Singh said this provides “revenue visibility for around four years,” and the company expects healthy order inflows to continue in FY26.
FY25 was a challenging year for RVNL as it navigated a strategic shift from its traditional focus on railway infrastructure to a more diversified portfolio. Execution was disrupted in the first half—first by the general election in Q1, which impacted labour availability, and then by excessive monsoon rains in Q2. However, performance improved sharply in the second half, with Q4 revenue growing 40% sequentially and narrowing the year-on-year decline to just around 5%.
RVNL reported a 4% year-on-year decline in net profit for Q4FY25 at ₹459 crore, while revenue from operations fell 4.3% to ₹6,426.9 crore. EBITDA for the quarter dropped 5% to ₹432.9 crore, with margins stable at 6.7%.
First Published: May 22, 2025 3:27 PM IST
