HBL Engineering Limited Secures ₹83.81 Crore Order for KAVACH Version 4.0

HBL Engineering Limited (formerly known as HBL Power Systems Limited) has announced the receipt of a significant domestic order for the Indian Railways' indigenous Automatic Train Protection (ATP) system. In a regulatory filing dated April 9, 2026, the company confirmed it has accepted a contract from Patiala Loco Works (PLW), Punjab.

Order Details and Scope

The contract focuses on the deployment of the latest iteration of the KAVACH safety system:

Total Contract Value: ₹83.81 Crore (inclusive of 18% GST).

Scope of Work: Supply, testing, and commissioning of On-board KAVACH equipment (Version 4.0).

Target Completion: The contract is scheduled to be completed on or before April 15, 2027.

Strategic Significance

The adoption of Version 4.0 is a critical update in the KAVACH ecosystem, representing the most advanced standards for railway safety in India. KAVACH is designed to prevent train collisions by automatically applying brakes if the loco pilot fails to do so, especially in cases of "Signal Passing at Danger" (SPAD) or over-speeding.

By securing this order from Patiala Loco Works, HBL Engineering reinforces its position as a key technology provider in the modernization of the Indian Railways' safety infrastructure. The company confirmed that the transaction does not involve any related party interests and was secured on an arm's length basis.

Shares of HBL Engineering Limited was last trading in BSE at Rs. 719.10 as compared to the previous close of Rs. 680.50. The total number of shares traded during the day was 101406 in over 3218 trades.

The stock hit an intraday high of Rs. 725.00 and intraday low of 697.00. The net turnover during the day was Rs. 71794571.00.

Source : Equity Bulls

Keywords

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