Texmaco Rail share price surges 24% in two days; here's why

Shares of Texmaco Rail & Engineering Ltd, an integrated provider of rail and infrastructure solutions, soared 9 per cent in Thursday's trade, taking its two day rise to 24 per cet. The fresh rally today came as the wagon maker said its March quarter profit grew 45.1 per cent year-on-year (YoY) to Rs 57.70 crore for the quarter compared with Rs 39.8 crore in the year-ago period. Operationally, Texmaco delivered 2,196 Freight Cars in the quarter gone by, while Foundry Division volumes totaled 8,964 mt.
The stock rose 8.77 per cent to hit a high of Rs 130.75. This was in addition to 13.71 per cent surge on the counter in the previous session. The stock gained yesterday, as the company secured one of its largest international rolling stock order worth Rs 4,045 crore in South Africa for supply of 2,235 freight wagons.

Post its results, Managing Director Sudipta Mukherjee said Texmaco made continued progress in its infrastructure and railway systems businesses, securing multiple orders in signaling, electrification, and maintenance projects.

Mukherjee said his company has expanded our presence in Overhead Electrification (OHE) and power supply maintenance services, with a cumulative portfolio of 3,703 TKM. It also secured significant wagon orders from private sector customers, further strengthening its freight mobility business and execution pipeline.

"Alongside wagons and rail infrastructure, we are scaling opportunities in railway signaling, safety systems such as Kavach, and power electronics and propulsion technologies. These sectors are important for modernizing India’s railway infrastructure and will drive future growth. We are also entering into Defence manufacturing and engineering value chain in collaboration with global technology providers," he said.

Besides, Mukherjee said the launch of the company's Global Capability Centre (GCC) platform was a key milestone.

"With a strong order book, improving execution capabilities, and a clear Vision 2030 roadmap, Texmaco is well positioned to create long-term value for all stakeholders,” he said.