Rail Vikas Nigam Limited (RVNL) witnessed a significant decline in its share price, dropping nearly 6% on August 8, after the company reported a sharp 35% decrease in its net profit for the first quarter of FY25.
By 14:25 pm on the NSE, RVNL’s stock had partially recovered but was still down 3.71%, trading at Rs 544.8. The company’s net profit for the June quarter stood at Rs 223.92 crore, a steep decline from Rs 343.09 crore in the same period of the previous year. The company had posted a net profit of Rs 478.4 crore in the March quarter.
RVNL’s revenue from operations also took a hit, falling 26.9% to Rs 4,073.8 crore, compared to Rs 5,571.57 crore in the year-ago period. This decline follows a rough start to the week, where the stock dropped 8% amid a broader market downturn that saw the BSE PSU and CPSE indices slipping by up to 4%.
Despite these setbacks, RVNL secured a Rs 132 crore order from Central Railways in July, signalling ongoing business activity even in the face of current challenges.
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Source: Moneycontrol
News Desk
