Wait list capped at 25% in long-distance trains

MUMBAI: The Railway Board has capped the number of Wait List (WL) tickets in long-distance trains in an attempt to ease overcrowding on railway platforms across the country. According to the new rule, in force since June 16, the quota has been capped at 25% for each class of coach – Sleeper, 3AC, 2AC and 1AC.
Until now, the number of WL tickets was arbitrary, varying between railway zones. Senior railway officials said that on the Central and Western railways, WL tickets used to comprise 20-40% of the total seats available in the trains. Sometimes, their number would go up to 500-700 on a single train.
However, the circular issued by the Railway Board earlier this week states, 'It has been decided that the maximum current waiting list limits will be revised to 25% of the redefined capacity of each class available at originating as well as roadside stations. This logic will also be applicable for issuing of waitlisted tickets from remote locations as well as tickets booked under the Tatkal Scheme'. (Examples of 'roadside stations' would be Thane, Kalyan, Andheri or Borivali, from where passengers can board long-distance trains)
Explaining how the new quota works, a railway official said that if a 3AC coach has 64-83 berths (depending upon the make of the train), then 25% of tickets would be set aside for WL passengers after this the booking for this coach was complete. Preference will be given to tatkal ticket booking, after which general ticket booking will follow. Also, passengers applying in concessional categories such as physically challenged, women etc, will not be included in the 25% quota.
Railway officials say they are yet to assess the impact the new quota will have on revenue. In 2024-25, the Indian Railways earned ₹75,500 crore from passenger revenue, that is, the sale of tickets.
'All these years, there was a fixed percentage for WL tickets. That's why, during peak summer season or the Ganesh festival, the number of WL tickets in Sleeper and/or 3AC coaches was as high as the total capacity of these coaches. This used to cause chaos as WL passengers would travel with passengers with unconfirmed tickets, causing fights and arguments inside long-distance trains. The new quota will give us some control over this. Moreover, passengers would know whether seats are available in a particular train at the time of booking,' said a senior railway official.
The new quota has brought some relief to the Railway Protection Force (RPF). 'The pressure on us to keep the crowds in check is immense. With fewer WL tickets being issued, this will make it more manageable,' said an RPF officer.
This is one of the primary reasons for overcrowding at CSMT, Dadar and Panvel stations during the annual Ganesh festivals. It also contributed to the stampede at Surat railway station on November 11, 2023, where a massive crowd of passengers, many of whom were migrant workers heading home for Diwali and Chhath Puja, rushed to board a Bihar-bound train.
Railway Passenger Associations have welcomed the move. 'This will hopefully ensure a peaceful journey. It will reduce quarrels inside trains, where WL passengers would gang up on valid ticket holders,' said Madhu Kotian, president, Mumbai Rail Pravasi Sangh.

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During the management conference call, the company highlighted that state governments and public sector undertakings continue to be a significant growth driver in the tourism business. This includes group tours, spiritual packages, and Bharat Gaurav trains, where IRCTC not only runs the trains but also handles food, accommodation, and complete itineraries. IRCTC mentioned it had conducted a large number of tour departures and that demand remains robust in the institutional segment. This helps the company maintain predictable booking volumes and supports revenue consistency in the tourism vertical. What stood out in the recent calls was the focus on new initiatives, but there was also a clear emphasis on reinforcing what already works. IRCTC did not speak about entering new lines of business or platform monetisation. Instead, the discussion stayed grounded in strengthening established segments like Rail Neer and government-driven tourism. This signals a cautious but deliberate strategy, one that leans on demand visibility, execution history, and operational scale. While this may limit near-term upside surprises, it also reduces the risk of capital misallocation or overreach. The current roadmap, as described by management, is structured around expanding throughput, rather than chasing high-risk opportunities. At around Rs 60,000 crore in market cap, IRCTC trades at roughly 46 times FY25 earnings. On the surface, this looks expensive for a company growing earnings at 15-20%. But the market seems to value it for its predictability, cash efficiency, and platform-like economics in ticketing. The stock is unlikely to see a rapid re-rating from here, unless there is a meaningful change in business mix or monetisation. That said, even if the multiple gradually tapers to 35-40x and earnings continue to grow, long-term investors could still see decent wealth creation, especially through dividends, capital protection, and lower volatility compared to high-growth names. What keeps this valuation stable is the moat IRCTC enjoys in its core business. What could test it is regulatory unpredictability or poor execution in scaling the other segments. While it may not offer a sharp upside from here, IRCTC still stands out as one of the few listed businesses in India that combines digital scale, government backing, and consistent profitability. Note: This article relies on data from annual and industry reports. We have used our assumptions for forecasting. Parth Parikh has over a decade of experience in finance and research and currently heads the growth and content vertical at Finsire. He holds an FRM Charter and an MBA in Finance from Narsee Monjee Institute of Management Studies. Disclosure: The writer and his dependents do not hold the stocks discussed in this article. The website managers, its employee(s), and contributors/writers/authors of articles have or may have an outstanding buy or sell position or holding in the securities, options on securities or other related investments of issuers and/or companies discussed therein. The content of the articles and the interpretation of data are solely the personal views of the contributors/ writers/authors. Investors must make their own investment decisions based on their specific objectives, resources and only after consulting such independent advisors as may be necessary.