IR Posts Rs 32.6 Billion Profit in FY24
RAILWAYS & METRO RAIL

IR Posts Rs 32.6 Billion Profit in FY24

In FY 2023–24, Indian Railways (IR) achieved record earnings of Rs 2.56 trillion, with a net profit of Rs 32.6 billion driven by freight growth, operational efficiency, and strategic investments. Expenditure stood at Rs 2.52 trillion, with major outlays on staff, pension, and energy. 

IR has adopted a two-pronged strategy of revenue augmentation and cost control. Freight loading rose 29% from 1,233 million tonnes in FY21 to 1,591 million tonnes in FY24. IR is on track to handle 1.6 billion tonnes in FY25, making it the world’s third-largest freight railway system. 

Key freight initiatives include: 
  • Private sector participation under Gati Shakti Multi-Modal Cargo Terminal (GCT) policy. 
  • Specialised wagons for commodities like cement, oil, and automobiles. 
  • Schemes such as “Cargo Aggregator Transportation Product” and “Rapid Cargo Services”. 
  • Tariff concessions for short-lead and empty flow traffic, and discounts for bulk and containerised cargo. 

IR is also boosting non-fare revenue via the NINFRIS policy, e-auctions for assets, and new kiosk concepts including nursing pods, digital cloakrooms, and EV charging stations. 

On the passenger front, IR enhanced earnings through new train services, onboard capacity, and modern coaches like Vande Bharat (136 services) and Amrit Bharat (4 services), offering improved safety, comfort, and features. 

To cut costs, IR continues electrification of tracks, saving over Rs 47 billion on diesel in FY24. As of now, 98% of tracks are electrified. Other efficiency measures include manpower optimisation, sustainable practices, and renewable energy procurement. 

IR has also modernised rolling stock and upgraded 23,000 km of track between 2014-15 and Feb 2025, improving speed potential to 130 kmph on many routes. Speed potential of 110 kmph now covers 80,000 km, up from 31,000 km in 2014. 

Further enhancements include: 
  • LED lighting and star-rated appliances across facilities. 
  • “Head-on-Generation” (HOG) systems to reduce diesel usage and pollution. 
  • Track monitoring systems, flash butt welding, and web-based analytics for precision maintenance. 
Despite modernisation, IR remains committed to affordability, providing a 46% average subsidy on passenger fares, with total passenger ticket subsidy at Rs 569.93 billion in FY23. Additional concessions continue for Divyangjans, patients, and students. 

This update was presented by Railways Minister Ashwini Vaishnaw in a written reply in the Lok Sabha. 

(PIB)                                    

In FY 2023–24, Indian Railways (IR) achieved record earnings of Rs 2.56 trillion, with a net profit of Rs 32.6 billion driven by freight growth, operational efficiency, and strategic investments. Expenditure stood at Rs 2.52 trillion, with major outlays on staff, pension, and energy. IR has adopted a two-pronged strategy of revenue augmentation and cost control. Freight loading rose 29% from 1,233 million tonnes in FY21 to 1,591 million tonnes in FY24. IR is on track to handle 1.6 billion tonnes in FY25, making it the world’s third-largest freight railway system. Key freight initiatives include: Private sector participation under Gati Shakti Multi-Modal Cargo Terminal (GCT) policy. Specialised wagons for commodities like cement, oil, and automobiles.  Schemes such as “Cargo Aggregator Transportation Product” and “Rapid Cargo Services”. Tariff concessions for short-lead and empty flow traffic, and discounts for bulk and containerised cargo. IR is also boosting non-fare revenue via the NINFRIS policy, e-auctions for assets, and new kiosk concepts including nursing pods, digital cloakrooms, and EV charging stations. On the passenger front, IR enhanced earnings through new train services, onboard capacity, and modern coaches like Vande Bharat (136 services) and Amrit Bharat (4 services), offering improved safety, comfort, and features. To cut costs, IR continues electrification of tracks, saving over Rs 47 billion on diesel in FY24. As of now, 98% of tracks are electrified. Other efficiency measures include manpower optimisation, sustainable practices, and renewable energy procurement. IR has also modernised rolling stock and upgraded 23,000 km of track between 2014-15 and Feb 2025, improving speed potential to 130 kmph on many routes. Speed potential of 110 kmph now covers 80,000 km, up from 31,000 km in 2014. Further enhancements include: LED lighting and star-rated appliances across facilities. “Head-on-Generation” (HOG) systems to reduce diesel usage and pollution. Track monitoring systems, flash butt welding, and web-based analytics for precision maintenance. Despite modernisation, IR remains committed to affordability, providing a 46% average subsidy on passenger fares, with total passenger ticket subsidy at Rs 569.93 billion in FY23. Additional concessions continue for Divyangjans, patients, and students. This update was presented by Railways Minister Ashwini Vaishnaw in a written reply in the Lok Sabha. (PIB)                                    

Next Story
Real Estate

Indian real estate attracts USD 1.4 bn institutional investments in Q1 2026: Vestian

Institutional investments in India’s real estate sector touched USD 1.4 billion in Q1 2026, marking the highest first-quarter inflow since 2022, according to Vestian. While investments fell 62 per cent quarter-on-quarter due to an exceptionally high base in the previous quarter, they rose 74 per cent compared to the same period last year, reflecting sustained investor confidence despite rising geopolitical and macroeconomic challenges.Commercial real estate remained the key driver of investment activity during the quarter, accounting for 80 per cent of total inflows, sharply higher than 38 p..

Next Story
Infrastructure Transport

VECV crosses 1 lakh annual vehicle sales milestone in FY26

VE Commercial Vehicles (VECV), a joint venture between Volvo Group and Eicher Motors, has surpassed the 1 lakh annual sales mark in FY 2025–26, recording its highest-ever commercial vehicle sales performance. The company said it sold more than 100,000 vehicles during the year, marking a major milestone aligned with the original vision of the Volvo–Eicher joint venture.The strong performance was supported by demand across categories. Light and Medium Duty (LMD) trucks contributed 47,789 units, accounting for 46.1 per cent of total sales. Heavy Duty (HD) trucks recorded 26,867 units (25.9 pe..

Next Story
Technology

Rodic Digital & Advisory partners SatSure to deploy EO intelligence in public sector

Rodic Digital & Advisory (RDA), the strategic advisory and digital transformation arm of Rodic Consultants, has signed a strategic cooperation Memorandum of Understanding (MoU) with SatSure to jointly pursue opportunities in India’s public sector. The collaboration aims to integrate high-resolution Earth Observation (EO) data and geospatial AI into government workflows to strengthen monitoring, compliance, and operational decision-making across key sectors.The partnership combines SatSure’s Earth intelligence capabilities with RDA’s expertise in government digital transformation and ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement