Rail Vikas Nigam Limited (RVNL) is an Indian central public sector enterprise (PSU) that serves as the construction arm of the Ministry of Railways, focusing on project implementation and transportation infrastructure development. Incorporated in 2003, RVNL was established to address the country’s growing infrastructural needs and to expedite project execution, as well as to create a railway equipment construction company. RVNL holds the prestigious status of a Navratna PSU in India, operating under the administrative control of the Ministry of Railways, Government of India.
RVNL handles project execution from concept to commissioning, creating project-specific Special Purpose Vehicles (SPVs) for efficient management. Its mandate includes the mobilization of extra-budgetary resources (EBRs) through a combination of equity and debt facilitated via these SPVs. This approach enables RVNL to effectively fund and implement large-scale projects, contributing significantly to the development of India’s railway infrastructure.
History of Rail Vikas Nigam Limited
Rail Vikas Nigam Limited (RVNL) was established to implement the National Rail Vikas Yojana (NRVY), a project aimed at developing railway infrastructure in India. The NRVY was announced by Prime Minister Atal Bihari Vajpayee during his Independence Day speech on 15 August 2002, from the ramparts of the Red Fort. It was formally launched by Vajpayee on 26 December 2002, and RVNL was incorporated under the Companies Act, 1956 on 24 January 2003. RVNL’s primary objectives are to augment the capacity of rail infrastructure and to raise extra budgetary resources for special purpose vehicle projects.
RVNL launched its initial public offering (IPO) on 29 March 2019, becoming the third railways-related PSU to do so, following RITES and IRCON. The company offered a 12% stake at a price range of ₹17-₹19 per share. The IPO was subscribed 1.78 times by its close on 3 April, raising ₹481 crore (US$58 million). Subsequently, RVNL was listed on the Bombay Stock Exchange and the National Stock Exchange on 19 April 2019.
| Mar 2023 | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | |
| Promoters + | 78.20% | 78.20% | 72.84% | 72.84% | 72.84% |
| FIIs + | 1.53% | 1.75% | 2.32% | 2.59% | 2.32% |
| DIIs + | 6.51% | 5.75% | 5.83% | 6.08% | 6.18% |
| Public + | 13.76% | 14.30% | 19.01% | 18.50% | 18.66% |
| No. of Shareholders | 7,20,323 | 8,86,922 | 13,41,098 | 13,97,699 | 18,44,551 |
The shareholding patterns of Rail Vikas Nigam Limited (RVNL) have seen notable changes from March 2023 to March 2024. The promoters’ stake remained constant at 78.20% until June 2023, after which it decreased to 72.84% and stayed stable through March 2024. Foreign Institutional Investors (FIIs) increased their holdings from 1.53% in March 2023 to 2.32% by March 2024, peaking at 2.59% in December 2023. Domestic Institutional Investors (DIIs) showed minor fluctuations, starting at 6.51% in March 2023, dipping to 5.75% in June 2023, and eventually rising to 6.18% by March 2024. Public shareholding rose from 13.76% in March 2023 to 18.66% by March 2024, indicating growing interest from retail investors. Additionally, the number of shareholders increased significantly from 720,323 in March 2023 to 1,844,551 by March 2024, reflecting a substantial rise in the investor base.
Below are the trading platforms that you can use to purchase Rail Vikas Nigam Limited shares:
➤ Zerodha
➤ Upstox
➤ Groww
➤ AngelOne
➤ ICICIDirect
| When | Maximum Price | Minimum Price |
| July 2024 | 563.90 | 490.35 |
| August 2024 | 586.46 | 509.97 |
| September 2024 | 609.92 | 530.36 |
| October 2024 | 597.96 | 519.96 |
| November 2024 | 621.88 | 540.76 |
| December 2024 | 628.10 | 546.17 |
In 2024, Rail Vikas Nigam Limited’s share prices are projected to show significant growth. As we step into July 2024, the maximum price is expected to reach ₹563.90, with a minimum around ₹490.35. Moving through the year, by December 2024, the share price is anticipated to range between a high of ₹628.10 and a low of ₹546.17.
| When | Maximum Price | Minimum Price |
| January 2025 | 634.38 | 487.98 |
| February 2025 | 640.79 | 492.91 |
| March 2025 | 654.24 | 503.26 |
| April 2025 | 647.76 | 498.28 |
| May 2025 | 628.90 | 483.77 |
| June 2025 | 657.20 | 505.54 |
| July 2025 | 644.31 | 495.62 |
| August 2025 | 664.24 | 510.95 |
| September 2025 | 672.21 | 517.08 |
| October 2025 | 689.69 | 530.53 |
| November 2025 | 706.93 | 543.79 |
| December 2025 | 738.74 | 568.26 |
In 2025, Rail Vikas Nigam Limited’s share prices are expected to continue their upward trajectory. As we step into January 2025, the maximum price is projected to reach ₹634.38, with a minimum of ₹487.98. By December 2025, the share prices are anticipated to range between a high of ₹738.74 and a low of ₹568.26. This forecast highlights the company’s consistent growth and its Strong position in the market.
| When | Maximum Price | Minimum Price |
| January 2026 | 760.90 | 585.31 |
| February 2026 | 741.88 | 570.68 |
| March 2026 | 756.72 | 582.09 |
| April 2026 | 772.16 | 593.97 |
| May 2026 | 764.52 | 588.09 |
| June 2026 | 783.63 | 602.79 |
| July 2026 | 768.26 | 590.97 |
| August 2026 | 792.02 | 609.25 |
| September 2026 | 807.87 | 621.43 |
| October 2026 | 828.87 | 637.59 |
| November 2026 | 849.59 | 653.53 |
| December 2026 | 870.83 | 669.87 |
| When | Maximum Price | Minimum Price |
| January 2027 | 879.54 | 676.57 |
| February 2027 | 902.09 | 693.92 |
| March 2027 | 937.27 | 720.98 |
| April 2027 | 918.90 | 706.84 |
| May 2027 | 892.13 | 686.25 |
| June 2027 | 932.28 | 717.14 |
| July 2027 | 914.00 | 703.07 |
| August 2027 | 942.27 | 724.82 |
| September 2027 | 975.24 | 750.19 |
| October 2027 | 1,000.60 | 769.69 |
| November 2027 | 1,025.62 | 788.94 |
| December 2027 | 1,051.26 | 808.66 |
| When | Maximum Price | Minimum Price |
| January 2028 | 1,072.28 | 824.83 |
| February 2028 | 1,099.78 | 845.98 |
| March 2028 | 1,142.67 | 878.97 |
| April 2028 | 1,120.26 | 861.74 |
| May 2028 | 1,087.63 | 836.64 |
| June 2028 | 1,136.58 | 874.29 |
| July 2028 | 1,114.29 | 857.15 |
| August 2028 | 1,148.75 | 883.66 |
| September 2028 | 1,188.96 | 914.58 |
| October 2028 | 1,219.87 | 938.36 |
| November 2028 | 1,250.37 | 961.82 |
| December 2028 | 1,281.63 | 985.87 |
| When | Maximum Price | Minimum Price |
| January 2029 | 1,307.26 | 1,005.59 |
| February 2029 | 1,340.78 | 1,031.37 |
| March 2029 | 1,393.07 | 1,071.59 |
| April 2029 | 1,365.76 | 1,050.58 |
| May 2029 | 1,325.98 | 1,019.98 |
| June 2029 | 1,385.65 | 1,065.88 |
| July 2029 | 1,358.48 | 1,044.98 |
| August 2029 | 1,400.49 | 1,077.30 |
| September 2029 | 1,449.51 | 1,115.01 |
| October 2029 | 1,487.20 | 1,144.00 |
| November 2029 | 1,524.38 | 1,172.60 |
| December 2029 | 1,562.48 | 1,201.91 |
| When | Maximum Price | Minimum Price |
| January 2030 | 1,593.73 | 1,225.95 |
| February 2030 | 1,634.60 | 1,257.38 |
| March 2030 | 1,698.35 | 1,306.42 |
| April 2030 | 1,665.05 | 1,280.81 |
| May 2030 | 1,616.55 | 1,243.50 |
| June 2030 | 1,689.30 | 1,299.46 |
| July 2030 | 1,656.17 | 1,273.98 |
| August 2030 | 1,707.39 | 1,313.38 |
| September 2030 | 1,767.15 | 1,359.35 |
| October 2030 | 1,813.10 | 1,394.69 |
| November 2030 | 1,858.43 | 1,429.56 |
| December 2030 | 1,904.89 | 1,465.30 |
In 2030, Rail Vikas Nigam Limited’s share prices are expected to show significant growth. As we step into January 2030, the maximum price is projected to reach ₹1,593.73, with a minimum of ₹1,225.95. Moving through the year, prices are anticipated to fluctuate, with the highest point in December 2030 expected to be ₹1,904.89 and the lowest at ₹1,465.30. This forecast underscores the company’s strong market position and potential for substantial returns.
Financial Condition of Rail Vikas Nigam Limited: Last 5 years
| Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | |
| Sales + | 14,531 | 15,404 | 19,382 | 20,282 | 21,733 |
| Expenses + | 13,744 | 14,524 | 18,200 | 19,037 | 20,386 |
| Operating Profit | 787 | 880 | 1,182 | 1,244 | 1,346 |
| OPM % | 5% | 6% | 6% | 6% | 6% |
| Other Income + | 266 | 757 | 809 | 1,004 | 1,183 |
| Interest | 41 | 458 | 564 | 581 | 568 |
| Depreciation | 20 | 23 | 21 | 22 | 21 |
| Profit before tax | 991 | 1,156 | 1,406 | 1,644 | 1,939 |
| Tax % | 20% | 19% | 23% | 23% | 25% |
| Net Profit + | 790 | 941 | 1,087 | 1,268 | 1,463 |
| EPS in Rs | 3.79 | 4.51 | 5.22 | 6.08 | 7.02 |
| Dividend Payout % | 30% | 35% | 35% | 35% | 30% |
Rail Vikas Nigam Limited (RVNL) has exhibited consistent financial growth over the past five years, underscoring its vital role in enhancing India’s rail infrastructure. From March 2020 to March 2024, RVNL’s sales surged from ₹14,531 crore to ₹21,733 crore. During this period, expenses rose from ₹13,744 crore to ₹20,386 crore, reflecting increased operational activity and infrastructure investment. Despite higher expenses, RVNL’s operating profit steadily increased from ₹787 crore to ₹1,346 crore, maintaining a 6% operating profit margin (OPM).
Non-operational revenue sources, classified as other income, significantly increased from ₹266 crore to ₹1,183 crore, boosting overall profitability. Interest expenses remained relatively stable, and depreciation costs were effectively managed, showcasing efficient financial practices.
RVNL’s profit before tax rose from ₹991 crore in March 2020 to ₹1,939 crore in March 2024, highlighting improved operational efficiency and revenue growth. The net profit also showed a positive trend, increasing from ₹790 crore to ₹1,463 crore during the same period. Earnings per share (EPS) increased from ₹3.79 to ₹7.02, indicating improved per-share profitability.
RVNL maintained a stable dividend payout policy, with payout percentages ranging between 30% and 35% from March 2020 to March 2024. This policy ensures consistent shareholder returns while allowing the company to reinvest in growth and infrastructure projects.
FAQS
As of 8th July 2024, the current share price of Rail Vikas Nigam is ₹550.
Rail Vikas Nigam’ share prices ranging from a projected high of ₹738.74 to an anticipated low of ₹483.77.
The expected maximum price prediction for 2030 is ₹1,904.89.
ALSO READ:
- KEI Industries Ltd Share Price Target 2024, 2025 to 2030
- Global Health Ltd Share Price Target 2024, 2025 to 2030
- Garden Reach Shipbuilders & Engineers Ltd Share Price Target 2024, 2025 to 2030
CONCLUSION
In conclusion, Rail Vikas Nigam Limited (RVNL) has reported strong Q4 results for March 2024, reinforcing its pivotal role in advancing India’s railway infrastructure. With sales reaching ₹21,733 crore and operating profit at ₹1,346 crore, RVNL demonstrates robust project execution capabilities. Despite challenges like increased tax rates, RVNL maintained a 30% dividend payout, ensuring shareholder returns. The company’s strategic use of special purpose vehicles (SPVs) for funding underscores its financial resilience. With growing investor confidence, RVNL is well-positioned to capitalize on future infrastructure opportunities, solidifying its status as a key player in India’s railway sector.
What did we learn?
- 1 History of Rail Vikas Nigam Limited
- 2 Shareholding Patterns of Rail Vikas Nigam Limited
- 3 How to purchase Rail Vikas Nigam Limited shares?
- 4 Rail Vikas Nigam Limited Share Price Target: 2024, 2025 to 2030
- 4.1 Rail Vikas Nigam Limited Share Price Target 2024
- 4.2 Rail Vikas Nigam Limited Share Price Prediction 2025
- 4.3 Rail Vikas Nigam Limited Share Price Target 2026
- 4.4 Rail Vikas Nigam Limited Share Price Target 2027
- 4.5 Rail Vikas Nigam Limited Share Price Target 2028
- 4.6 Rail Vikas Nigam Limited Share Price Target 2029
- 4.7 Rail Vikas Nigam Limited Share Price Prediction 2030
- 5 Financial Condition of Rail Vikas Nigam Limited: Last 5 years
- 6 FAQS
- 7 CONCLUSION
