News

Published: Feb 15, 2023
Updated: Feb 15, 2023

BHEL Reports Impressive Q3 Results with 55% YoY Jump in Profit

BHEL, one of India's largest engineering and manufacturing companies, has reported a robust financial performance for the third quarter of the fiscal year. The company's profit after tax (PAT) saw a YoY increase of 55% to reach Rs 42 crore. This was a significant improvement compared to the previous quarter, where PAT was only Rs 12 crore.

Operations See Modest Growth in Q3

Revenue from operations showed modest growth of 2% YoY, reaching Rs 5,263 crore in the third quarter, compared to Rs 5,136 crore in the same period last year. On a sequential basis, revenue rose by just 1% from the previous quarter. The company's total expenses remained relatively flat, at Rs 5,320 crore compared to Rs 5,270 crore in the same quarter of the previous year.

Power Segment Leads the Way

The power segment was a bright spot, with revenue rising 7% YoY to Rs 3,992 crore, compared to Rs 3,723 crore in the third quarter of the previous year. In contrast, revenues from the industry fell by 20% to Rs 947 crore, down from Rs 1,195 crore in the previous year.

Other Operating Income Surges 49%

Other operating income was another highlight, with a 49% YoY increase to reach Rs 324 crore, compared to Rs 217 crore in the same quarter of the previous year.

Board Changes at BHEL

BHEL also announced that Raj Kamal Bindal and Manish Kapoor have stepped down from their positions as Part-time Non-Official (Independent) Directors on the Board of BHEL, following the completion of their tenure.

Outlook Remains Positive

Despite a dip in the stock price ahead of the results, BHEL remains a positive investment opportunity, with an average target of Rs 70.33 according to Trendlyne data. The company's strong financial performance and continued growth in key segments make it an attractive option for investors.

BHEL's Q3 results demonstrate the company's ability to perform well in a challenging economic environment, with strong growth in key segments and a significant YoY increase in profit. With a robust financial performance and continued growth, BHEL remains a positive investment opportunity for investors.