Rail Vikas Nigam (RVNL) Q2 25/26 earnings summary

Executive summary

• Q2 FY26 performance improved both sequentially and year-over-year, with strong project execution across legacy and newly acquired projects in railways, metro, and other sectors.

• Board approved unaudited standalone and consolidated financial results for Q2 and H1 ended 30 September 2025, with review by statutory auditors and audit committee.

• Business diversification continues, with expansion into sunrise sectors like solar, battery storage, and international projects, including harbor works in the Maldives.

• The order book stands at approximately INR 90,000 crore as of September 30, 2025, providing stable revenue visibility for the next 2-3 years.

Financial highlights

• Standalone Q2 revenue from operations: ₹4,934.59 crore; H1 revenue: ₹8,859.89 crore.

• Consolidated Q2 revenue from operations: ₹5,122.98 crore; H1 revenue: ₹9,031.75 crore.

• Order inflow for Q2 FY26 was INR 852 crore; H1 FY26 order inflow totaled INR 2,000 crore.

• FY25 order inflow was INR 18,000 crore, while FY26 is projected at INR 8,000-10,000 crore due to fewer large project wins and deferred tenders.

• Revenue guidance for FY26 maintained at INR 21,000-22,000 crore, with expectations of accelerated execution in H2.

Outlook and guidance

• Revenue guidance for FY26 remains unchanged, with management confident of meeting or exceeding targets due to a strong order book and improved execution pace in Q3 and Q4.

• FY27 revenue expected to grow by at least 10% over FY26, supported by ongoing and new project wins.

• EBITDA margin guidance is 4%-5%, in line with industry standards, with efforts to improve margins through project mix and international expansion.

• Management is evaluating the impact of audit qualifications and regulatory comments on future results.

• Adjustments related to interest and departmental charges for KRCL pending board decision.