This PSU stock, which is engaged in manufacturing a wide range of heavy earthmoving equipment while catering to the mining and construction industry, is in focus after the company plans to increase its order book to increase by 20 percent in FY25.
Share Price Movement
With a market capitalization of Rs. 10,307.43 Crores, the shares of BEML Limited were trading at Rs. 2,475.10 per share which is down by 3.65 percent from the previous close of Rs. 2,568.85 apiece. It has delivered a negative return of 23.66 percent which has underperformed the Nifty Index in the past year.
Order Book Guidance
The company plans to reach orders worth Rs. 18,000 crore for FY25 and they expect to get Rs. 3,000 crore additional orders in the next 45 days, 20 percent higher than its current order book of Rs. 15,139 crore as of December 2024.
The order book comprises 60 percent from Rail and Metro projects, 30 percent from defence, and the remaining 10 percent from Mining. This would be the highest-ever order book growth and inflow in a single financial year.
Also read: Bulk Deal: Stock under ₹50 jumps 3% after promoter bought stake worth over ₹5.5 Cr
Q3FY25 Financial Highlights
The company’s stock was in focus after reporting financial results for the quarter ending December 2024, BEML consolidated revenue from operations has declined by 16.33 percent year on year from Rs. 1,047 crores in Q3FY24 to Rs. 876 crores in Q3FY25 and increased by 1.86 percent quarter on quarter from Rs. 860 crores in Q2FY25.
The consolidated net profit declined by 50 percent year on year from Rs. 48 crore in Q3FY24 to Rs. 24 crore in Q3FY25. As compared to Q3FY25, the company’s net profit has declined by 52.94 percent quarter on quarter from Rs. 51 crore.
Business Segment
The company has been exempted from sharing segment-wise information as per the Ministry of Corporate Affairs (MCA).
Company Overview & EBITDA guidance
BEML Limited, formerly known as Bharat Earth Movers Limited, which was established in 1964. They manufacture heavy equipment for sectors like defence, mining, and rail and operate across three major business verticals.
Further, they reiterate their stance of EBITDA margin expansion of 100 basic points for FY25. They further plan to take on long-term debt to fund its capex plans, which can ease working capital in the next financial year.
Written By Santhosh S
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