Railway and EPC stock jump up to 6% after receiving order worth ₹1,136 Cr for Govt. project

Synopsis: Two stocks witnessed a surge of more than 4 percent after bagging a Rs 1,136 crore Maharashtra government modernization order, covering end-to-end IT, network, cloud, and infrastructure operations over five years.

An EPC company engaged in highways, power T&D, railways, and infrastructure development, along with a railway stock operating nationwide telecom and broadband networks, gained investor attention after securing a major Maharashtra government modernization project. This includes a company with an order of about Rs 16,000 crores.

With a market cap of more than Rs 4,000 Cr, Ashoka Buildcon Ltd saw its stock hit an intraday high of Rs 150 which is 6 percent higher than the previous close of Rs 142. The company’s stock has given a compounded return of 24 percent in the last three years.

Meanwhile, Railtel Corporation of India Ltd also saw its stock hit an intraday high of Rs 337 which is 4 percent higher than the previous close of Rs 324, and this company has seen its stock give a compounded return of 44 percent in the last three years.

What’s the News?

Ashoka Buildcon Limited informed exchanges on February 21, 2026, that it received a Letter of Intent for a Maharashtra government project in consortium with Railtel Corporation of India Limited. The project is awarded by Inspector General of Registration & Controller of Stamps, Maharashtra, Pune.

The project involves end-to-end modernization, operation, and maintenance of IT, network, cloud, and application infrastructure for five years on a turnkey basis, to be executed by March 19, 2032. The accepted rate is Rs 24.75 per scanned page, with an estimated five-year financial impact of approximately Rs 1,136.18 crore.

The Order Book 

Ashoka Buildcon Limited reported a robust order book of about Rs 16,000 crore in Q3FY26, reflecting healthy growth over September. Road EPC leads revenue contribution at 44 percent, followed by Power T&D at 32 percent, Road HAM at 11 percent, Railways at 10 percent, and Building EPC at 3 percent, strengthening diversified infrastructure presence.

RailTel Corporation of India Ltd. has an order book of around Rs 1,000 crore from railway projects. Apart from this, there are also signaling projects of Rs 1,700 crore, along with other telecom orders, which contribute another Rs 400 crore. The company has Rs 5,000 crore worth of orders from non-railway segments. Taking the total order book to nearly Rs 8,000 crore.

Business & Financial Overview

Ashoka Buildcon Ltd is an Indian infrastructure developer engaged in highways, EPC, and BOT/HAM road projects, along with power T&D, railways, smart cities, and buildings. Headquartered in Nashik, it has executed marquee projects like the Mopa Airport Link Project in Goa and India’s first 8-lane extra-dosed cable-stayed bridge, completed in 33 months.

In the latest quarter the company saw its YoY revenue fall by 23 percent, going from Rs 2,388 Cr in Q3FY25 to Rs 1,827 Cr in Q3FY26. Though the revenue numbers fell, the YoY Net Profits grew by 218 percent, going from Rs 662 Cr in Q3FY25 to Rs 2,111 Cr in Q3FY26. 

The extraordinary profit growth was due to exceptional gains and deferred tax involving Rs. 2,376 Crores and Rs. 447 Crores respectively.  The company has a 3 year profit CAGR of 49 percent, while the sales CAGR for the period stood at 19 percent.

On the other hand, RailTel Corporation of India Ltd is a Government of India enterprise under the Ministry of Railways, providing nationwide broadband and telecom infrastructure. It operates one of India’s largest neutral telecom networks along railway tracks, offering internet, VPN, data center, cloud, and cybersecurity services to enterprises, government bodies, and retail customers.

In the latest quarter the company saw a YoY revenue growth of 19 percent, going from Rs 768 Cr in Q3FY25 to Rs 913 Cr in Q3FY26, while the YoY Net Profits fell by 5 percent, going from Rs 65 Cr in Q3FY25 to Rs 62 Cr in Q3FY26. The company has a 3 year profit CAGR of 32 percent, while the sales CAGR for the period stood at 23 percent.

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