Shares of Texmaco Rail & Engineering rose by 4% in the Indian market after the company received an order worth ₹103.16 crore from Leap Grain Rail Logistics. Although the company's net profit fell by 49.8% in the June quarter, the new order has boosted investor confidence.
Railway Stock: Shares of Texmaco Rail & Engineering rose by over 4% in the Indian stock market on Friday, August 22. The company received an order worth ₹103.16 crore from Leap Grain Rail Logistics Private Limited, which includes the supply of BCBFG wagons and BVCM brake vans. This order was placed on August 21 and will be delivered in 10 months. However, the company's Q1 results for June 2025 were weak, with a net profit of ₹30 crore and revenue of ₹910.6 crore.
New Order of ₹103 Crore
The company informed the exchange after market close on Thursday that it had received an order worth ₹103.16 crore from Leap Grain Rail Logistics Private Limited. This order was signed on August 21, 2025. The order includes the supply of BVCM brake vans along with BCBFG wagons. The company has to deliver all these wagons and brake vans in the next 10 months. Experts say that this order will strengthen Texmaco Rail's project portfolio and is expected to improve the company's revenue structure.
Recently, in June 2025, the company also received an international order worth ₹535 crore from Camlco SA of Cameroon. This includes the manufacture and supply of 560 open-top wagons, valued at ₹282 crore. In addition, the value of the 20-year long-term maintenance contract was stated to be ₹253 crore.
Decline in Q1 Results
However, Texmaco Rail's financial results for the June quarter brought mixed signals for investors. In the quarter ended June 30, 2025, the company's net profit stood at ₹30 crore, which is 49.8 percent lower compared to ₹59.8 crore in the same quarter last year. Total revenue also decreased from ₹1,088.2 crore to ₹910.6 crore, a decline of 16.3 percent.
EBITDA also decreased by 33.5 percent to ₹71.2 crore compared to the previous year. The operating margin fell from 9.8 percent to 7.8 percent. Financial analysts say that this decline is the result of a slowdown in the industry, slow delivery of projects, and changes in raw material prices.
Reason for the Rise in Shares
The main reason behind the rise in Texmaco Rail's share price is being attributed to the new ₹103 crore order and the company's b order book. Investors believe that although there has been a decline in profit and revenue in the quarter, the arrival of new orders is likely to improve the company's income in the future.
The company's projects and international order portfolio have maintained investor confidence. Texmaco Rail's production capacity, logistics management, and brand value make it one of the leading companies in the railway sector.
Income May Increase from International Orders
Experts say that in the coming months, Texmaco Rail & Engineering may see stability in its order book and revenue. Given the demand from Indian Railways and other logistics companies, the company is likely to receive new orders. Investors are currently holding a positive outlook on the company's shares.
Texmaco Rail's projects and international orders can play an important role in increasing revenue for the company. Experts believe that the company's b technical capabilities and extensive customer network keep it ahead of its competitors in the railway sector.
