The shares of this stock engaged in defence, rail, and heavy equipment manufacturing, producing battle tank engines, metro trains, mining machinery, and military vehicles surged 7 percent after securing a Rs 405 crore work order from Bengaluru Metro Rail.
Stock Performance
With a market capitalization of Rs 13,447.84 crore, BEML Ltd went up 7 percent to an intraday high of Rs 3366.10 per share compared to the previous close price of Rs 3132.65 per share. The shares retraced from the day’s high and was trading at Rs 3229.20, which is 3 percent higher than the previous close.
What Happened
BEML Ltd has secured a contract from Bengaluru Metro Rail Corporation Limited (BMRCL) for the design, manufacture, supply, installation, testing and commissioning of Standard Gauge Metro Cars and Training of Personnel including Comprehensive Maintenance up to 15 Years under Bengaluru Metro Rail Projects for a consideration of Rs. 405 Crores.
Company Overview
BEML Ltd is engaged in the manufacture of a wide range of heavy earthmoving equipment. The company caters to the mining and construction industry, vehicles for defense forces and coaches for the metro and Indian Railways. As of September 2024, the company’s order book stood at Rs 11,453 crores.
Financials
When looking at the financial statements, the company reported a 16 percent decrease in revenue from Rs 1,047 crore to Rs 876 crore in Q3 FY24-25. This was accompanied by a 50 percent decrease in net profits from Rs 48 crore to Rs 24 crore.
Written by Shwetha Sairam
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