RVNL Q2 Results: Profit Down 27%, Misses Estimates

Margin narrows 50 basis points to 5.6% in the September quarter.

Rail Vikas Nigam Ltd.'s Q2 results showed a significant decline in both profit and revenue, with a 27% drop in net profit and a 1.2% fall in revenue, missing Bloomberg's estimates. (Photo source: RVNL website)

Rail Vikas Nigam Ltd.'s consolidated net profit dropped 27% in the second quarter of the current financial year, missing analysts' estimates.

The company posted a profit of Rs 286.9 crore in the quarter ended September as compared to Rs 394.4 crore in the same period last year. Analysts polled by Bloomberg had estimated a profit of Rs 356 crore.

Revenue from operations declined 1.2% to approximately Rs 4,855 crore in the July–September period as against Rs 4,914.3 crore in the year-ago period.

RVNL Q2 FY25 Earnings Highlights (Consolidated, YoY)

  • Revenue down 1.2% to Rs 4,854.95 crore versus Rs 4,914.3 crore (Bloomberg estimate: Rs 5,160 crore).

  • Ebitda down 9% to Rs 271.5 crore versus Rs 298.3 crore (Estimate: Rs 310 crore).

  • Margin narrows 50 basis points to 5.6% versus 6.1% (Estimate: 6%).

  • Net profit down 27% to Rs 286.9 crore versus Rs 394.4 crore (Estimate: Rs 356 crore).

Also Read: RVNL-Led Consortium Emerges Lowest Bidder For BSNL Project Worth Over Rs 5,000 Crore

During the quarter, the company incurred a net loss of Rs 15.2 crore from its joint venture and associates as compared to a gain of Rs 24.2 crore last year. Finance costs and depreciation also increased as against a decline in other income for the business.

Shares of RVNL closed 1.75% higher at Rs 477.85 apiece on the NSE, compared to a 1.16% decline in the benchmark Nifty 50.

Also Read: Q2 Results Updates: Cummins Profit Rises 37%; NHPC Profit Misses Estimates

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