Rail Vikas Nigam Limited (RVNL) has secured a contract worth ₹145.35 crore from Southern Railway, after emerging as the lowest bidder. The order, confirmed on September 22, 2025, underscores RVNL’s growing presence in executing critical railway infrastructure projects.
Project Scope
The project involves:
- Design, supply, erection, testing, and commissioning of Scott-connected traction substations.
- Installation of power quality compensating equipment, switching posts (SP/SSP), SCADA integration, and automatic fault locator (AFL) systems.
The work will be executed between Jolarpettai Junction and Salem Junction under the Salem Division as part of the Mission 3000MT initiative, aimed at upgrading freight loading capacity. The contract execution period is set at 540 days.
Recent Contract Win with West Central Railway
Earlier, on September 10, 2025, RVNL won another order worth ₹169.49 crore under West Central Railway. That project covers the Bina–Ruthiyai section of the Bhopal Division and includes the commissioning of a 220/132kV/2×25 kV Scott-connected traction substation, switching posts, and SCADA systems.
RVNL Q1FY26 Financial Performance
In Q1FY26, RVNL reported:
- Revenue of ₹3,908 crore, down 4.1% YoY.
- EBITDA of ₹52 crore, a steep decline of 71% YoY.
- Net profit at ₹134 crore, down 40% YoY from ₹224 crore.
- EBITDA margin contracted to 1.4%, compared to 4.5% a year earlier.
Summary:
RVNL has bagged a ₹145.35 crore order from Southern Railway for traction substations and SCADA systems between Jolarpettai and Salem Junctions, under the Mission 3000MT initiative. This comes shortly after winning a ₹169.49 crore West Central Railway contract earlier this month. Despite new orders, RVNL’s Q1FY26 earnings showed weaker profitability, with net profit dropping 40% YoY and margins narrowing sharply.
45.35 Crore Contract from Southern Railway for Traction Substation Project
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