Bharat Electronics Ltd., a Navratna defence PSU, saw a significant increase in its net profit for the first quarter of the financial year. The company reported a 46% year-on-year growth in net profit, reaching ?776 crore, surpassing the market expectations. This positive performance was driven by a 19.6% growth in revenue, which stood at ?4,199 crore, exceeding the estimated ?3,953 crore. Additionally, the Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) showed a 41% increase from the previous year to ?937 crore, higher than the expected ?860 crore.
Moreover, the EBITDA margin expanded by over 330 basis points to 22.3%, reflecting strong operational efficiency. The company’s order book position as of July 1, 2024, was reported at ?76,705 crore, indicating a healthy pipeline of future projects. Following the earnings announcement, the stock of Bharat Electronics rose by 4.6% to ?325.6, and is currently trading at ?321.55, showing a 3.7% increase.
In the last 12 months, the company’s stock has surged by 145%, reflecting investor confidence in its growth prospects. Overall, Bharat Electronics has witnessed a remarkable performance in terms of financial results and market valuation, positioning itself as a key player in the defence sector. With a strong order book and consistent revenue growth, the company is well-positioned to capitalize on future opportunities and deliver value to its stakeholders.
