Shares of Rail Vikas Nigam Ltd (RVNL) declined over 1% to Rs 314 on Wednesday after the company reported weaker-than-expected financial results for the September quarter (Q2 FY26). The stock is reacting to the numbers announced after market hours on Tuesday.
During the quarter, revenue was the only metric that grew year-on-year, while both EBITDA and net profit declined compared to the same period last year. The company’s EBITDA margin also weakened, reflecting higher costs and subdued operational performance.
In addition, RVNL’s operating cash flow turned negative in the first half of FY26. As of September 30, the company reported an operating cash outflow of Rs 1,254 crore, compared to an inflow of Rs 1,878 crore in March 2025 and Rs 1,755 crore in the same period last year.
Sequentially, the company’s financial performance was better than the previous quarter, with revenue improving on a quarter-on-quarter basis. However, the top line missed Bloomberg Consensus estimates, suggesting slower-than-anticipated project execution and cost pressures.
Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Author or Business Upturn is not liable for any losses arising from the use of this information.
