As the railway tracks of Indian stock markets heat up, two PSU companies– IRCTC and RVNL are gearing up to announce their final dividends and Q4 results this week. Both companies serve the Indian Railways but have entirely different business models, growth paths, and dividend strategies.
Let’s put them on parallel tracks and take a look at the key factors to watch out for in both PSU railway stocks.
IRCTC or RVNL: Who has a better dividend history?
Indian Railway Catering and Tourism Corporation (IRCTC), the face of railway ticket bookings in India, enjoys a monopoly status in catering, tourism, and online ticketing services. For FY25, the company has already handed out two interim dividends of Rs 3 and Rs 4 per share.
Rail Vikas Nigam (RVNL), on the other hand, is more of a growth-focused railway PSU. The company paid a single dividend of Rs 2.11 per share in September 2024. In previous years, it has usually paid dividends twice annually, that is, Rs 2.13 in FY23 and Rs 1.83 in FY22 but the amounts have been modest. The dividend yield for RVNL stands at just 0.49%.
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RVNL will be the first to announce its final dividend and Q4 results on May 21. Just a week later, IRCTC will follow suit with its financial results and dividend decision on May 28.
IRCTC or RVNL: Q4 result date
IRCTC has scheduled its board meeting for May 28, where the final dividend, if any, will be declared. On the other hand, RVNL will hold its board meeting on May 21, where it will not only declare its Q4 earnings but is also expected to recommend a final dividend for FY25.
IRCTC Vs RVNL: Stock performance
The share price of IRCTC is currently down 1.6%, trading at Rs 791.80 in intraday trade. Over the past five days, it has delivered a 3% return, and in the last one month, the stock has gained 2%. However, on a broader timeline, IRCTC’s stock has declined by 29% over the past one year. The company’s market capitalisation stands at Rs 63,380 crore. Its 52-week high is Rs 1,138.90, while the 52-week low is Rs 656.00.
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