This Defence PSU company which is in the business of manufacturing and supplying electronic equipment and systems to the sector of defence expects to double the current FY25 order book in the next 2 months.
Share Price Movement
In Wednesday’s trading session, BEL‘s share price was up by 2.11 percent to the day’s high of Rs. 290.30. The stock reiterated from the day’s high and were trading at Rs. 289.85 per share which was up by 1.95 percent from the previous close of Rs. 284.30 per share. In the past year, the stock has given around 60 percent returns and outperformed the Nifty Index.
Doubling FY25’s Order Book Value
In the recent transcript, the company’s management said, they have secured an order book of Rs. 11,000 crore this year and their guidance for this financial year is Rs. 25,000. They expect to add around Rs. 14,000 crore in the next 2 months in this financial year with NGC valued around Rs. 14,000 to Rs. 15,000 crore.
The Major contracts, including Ashwini Radar and HimShakti Phase 4, are in the final stages. With multiple large defence projects in the pipeline, BEL remains confident to achieve its annual order inflow target.
Order Book Outlook and Diversification
The company is also targeting orders such as QRSAM which is in the range of Rs. 25,000 to Rs. 30,000 crore and MRSAM & MFSTAR is expected in FY25 or before March FY26. The company is also expanding into non-defence sectors like cybersecurity, telecom, and homeland security while aiming to increase non-defence revenue to 20 to 25 percent in the upcoming years. The order book as of 1st January stood at Rs. 71,100 crore.
Financials
In its latest filing for the quarter ending December 2024, the company reported a 38.65 percent rise in revenue, reaching Rs.5,771 crore compared to Rs.4,162 crore in Q3FY24. During the same period, net profit increased by 52.55 percent to Rs.1,312 crore in Q3FY25, compared to Rs.860 crore in Q3FY24.
Company Profile
Bharat Electronics Ltd (BEL) was established in 1954. It is a Navratna public sector undertaking in India. The company specializes in manufacturing advanced electronic products for defense and aerospace applications. They provide a wide range of systems, including communication, radar, and electronic warfare solutions, serving both domestic and international markets.
Written by – Santhosh S
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