Unstoppable Surge: Kernex Clinches ₹33.46 Billion Kavach Contract, Pioneering India’s Rail Safety Future

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Kernex Microsystems (India) Ltd has secured massive orders worth ₹33.46 billion for its flagship Kavach automated train protection system. This landmark deal reinforces Kernex’s leadership in rail safety technology, with an order book ensuring revenue visibility over the next decade as the Kavach rollout accelerates nationwide.

Kernex Microsystems (India) Ltd, a leading player in railway safety and signaling technologies, announced today it has secured orders totaling ₹33.46 billion for its advanced Kavach Train Collision Avoidance System. This robust order intake marks a significant milestone for Kernex as the Indian Railways rapidly implements this indigenous safety technology to enhance operational safety and reduce rail accidents.

The Kavach system is a state-of-the-art automated train protection technology developed by Indian Railways that prevents collisions and safeguards train operations. Kernex, which specializes exclusively in railway safety equipment and services, is a front-runner in delivering this critical infrastructure.

Kernex's current production capacity includes manufacturing 450 Kavach units monthly, with the potential to expand further to meet growing demand. The company is also actively developing the next-generation Kavach 4.0 system, featuring enhanced hardware and software capabilities, expected to be operational soon.

With these orders, Kernex’s total project pipeline has grown substantially, providing revenue visibility of more than ten years based on FY25 revenue benchmarks. The projects cover extensive sections of India’s railway network, including dedicated freight corridors and multiple railway zones, with contract scopes encompassing survey, design, supply, installation, testing, and commissioning.

The company’s position is further bolstered by recent high-value deals including contracts from the Dedicated Freight Corridor Corporation of India Limited (DFCCIL) and various railway divisions, indicating broad acceptance and reliance on Kernex's Kavach technology across the industry.

Notable Updates:

Kernex Microsystems secures ₹33.46 billion worth of Kavach system orders.
Kavach is India’s indigenous automated train collision avoidance system.
Orders include comprehensive services from survey to commissioning.
Current production capacity is 450 units/month, expandable with demand.
Development underway for Kavach 4.0 with advanced hardware/software.
New contracts span major freight corridors and multiple railway zones.
Order book provides revenue visibility for over 10 years.
Kernex strengthens leadership in rail safety technology sector.

Recent contracts include a ₹2.1 billion DFCCIL project for Eastern Dedicated Freight Corridor.
Ongoing bids and future proposals indicate sustained growth prospects.

Sources: Kernex Microsystems official site, Financial Express, Angel One market updates, India Infoline, ScanX Trade, Venture Securities reports

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