Bharat Electronics Share Price Declines After Missing Order Inflow Guidance

Market Performance

Shares of Bharat Electronics Ltd declined over 5% on April 2 after the company reported order inflows that fell short of its projections for the financial year 2024-25. As of 10:10 AM on April 2, BEL shares were trading 5.3% lower at Rs 276.6 per share on the BSE. The stock has a 52-week high of Rs 240.50 and a 52-week low of Rs 212.6. The company's market capitalization stood at approximately Rs 2.02 lakh crore.

Financial Performance

Revenue

BEL reported a turnover of approximately Rs 23,000 crore for the financial year 2024-25, reflecting a 16% increase compared to the previous year's turnover of Rs 19,820 crore. However, this figure fell short of the company's projected revenue of Rs 25,000 crore.

Export Sales

The company achieved export sales of around $106 million in FY 2024-25, registering a 14% growth over the previous fiscal year's export turnover of $92.98 million.

Order Book and New Contracts

During the financial year, BEL secured new orders worth Rs 18,715 crore. Major contracts included projects such as the BMP II Upgrade, Ashwini Radar, Software Defined Radios, Data Link, Multi-Function Radars, EON 51, Seekers, Anti-Drone Systems, Airport Surveillance Radar, Sonar Upgradation, Flycatcher Spares, and Radar Upgradation. Additionally, the company received contracts for non-defence sector projects. As of April 1, 2025, BEL's total order book stood at approximately Rs 71,650 crore, including an export order book of $359 million.

Company Strategy and Outlook

Bharat Electronics focuses on self-reliance by enhancing its indigenization efforts, expanding and modernizing its operations, and collaborating with Indian industries, including MSMEs and startups. The company has outlined strategies to strengthen its global presence and expand its footprint in international markets in the coming years.

Summary

Bharat Electronics reported revenue growth of 16% for FY 2024-25 but missed its projected turnover target. The company secured significant new orders, bringing its total order book to Rs 71,650 crore. Despite these developments, BEL's share price declined following the announcement. The company is dedicated to enhancing its market position through modernization and global expansion.