Shares of the defence company were in focus in Tuesday’s trading session after winning orders worth Rs. 847 crores from the Government. The shares have delivered a 98 percent return to its investors in one year.
With a market capitalization of Rs. 1,37,351 crores, the shares of Bharat Electronics Ltd started Tuesday’s trading session on a higher note at Rs. 192 compared to its previous close of Rs. 190.90. During the trading session the shares hit a low of Rs. 187, making a loss of around 2 percent and closed the day at Rs. 187.90 apiece.
According to the exchange filing, the company announced that it received an order worth Rs. 847 crores from the Central Board of Indirect Taxes and Customs (CBIC). The contract was signed on Tuesday for the implementation and management of IT infrastructure.
As per the details of the project, the defence company has been given the responsibility for the supply, installation and maintenance of IT and networking infrastructure. The company will also provide field IT support as well as centralised management and monitoring services.
The maintenance support will be provided by Bharat Electronics for five years, which will also include the implementation period and the contract is valued at Rs. 665.84 crore plus taxes, making it one of the biggest civilian projects acquired by them on a competitive basis during the current financial year (FY24).
Besides, the above-mentioned order the PSU company also bagged other orders worth Rs. 182 crores towards miscellaneous spares and services since its last disclosure on January 17, 2024. With the above BEL has received cumulative orders of Rs. 28494 crore in the current financial year.
Coming onto the company’s Financial statement, the revenue increased marginally by 4 percent from Rs. 4,009 crores in the September quarter to Rs. 4,162 crores during the December quarter. In addition, the net profit increased by 9 percent from Rs. 790 crores to Rs. 860 crores during the same timeframe.
According to the annual report, BEL will enable the scaling of R&D for innovative Products or Services across the organisation to align with the objectives of growth, diversification and transformation and they plan to continue investing in R&D to offer advanced products or solutions for meeting the continuously evolving requirements of customers. Moreover, the company is targeting an increase in the share of ‘non-defence’ revenue in the next two to three years.
Headquartered in Bengaluru, Bharat Electronics Ltd was incorporated in 1954. The company is engaged in the business of designing, manufacturing and supplying electronic equipment and systems for the defence and civilian markets in India. Its product portfolio includes defence communication products, naval systems, land-based radars, avionics, electro-optics, tanks, etc.
Written By Vaibhav Patil
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