Rail Vikas Nigam (RVNL) reported a sharp 40 per cent year-on-year drop in consolidated net profit to Rs 134.36 crore for the quarter ended June 30, 2025, compared with Rs 223.92 crore in the same period last year.
Consolidated revenue from operations fell to Rs 3,908.77 crore in Q1FY26 from Rs 4,073.80 crore in Q1FY25, marking a decline of 4 per cent. Other income also dropped to Rs 228.19 crore from Rs 262.95 crore last year, pulling total income down to Rs 4,136.96 crore from Rs 4,336.75 crore.
Here are key takeaways from the Q1FY26
RVNL’s total expenses dip slightly; joint venture profits rise
The Navratna PSU RVNL posted total expenses of Rs 3,972.92 crore, slightly lower than Rs 4,036.50 crore a year ago. The company’s share of profit from joint ventures and associates rose to Rs 9.37 crore from Rs 1.36 crore in the same quarter last year.
During the quarter, RVNL set up a new wholly-owned subsidiary — Sabbavaram Sheelanagar Road Development Limited — in Andhra Pradesh with a paid-up capital of Rs 1 lakh.
In the regulatory filing, RVNL said it has a receivable of Rs 1,275.25 crore from Krishnapatnam Railway Company (KRCL), including Rs 889.95 crore in interest on delayed payments. The interest calculation has been changed from compound to simple with effect from October 1, 2024, while KRCL has sought simple interest from April 1, 2020.
KRCL has also requested a waiver of departmental charges of 5 per cent of the project completion cost. The matter is pending with the board.