Rs 1,35,000 Crore Order Book: Heavy Electrical Equipment Company Wins NTPC’s 3x800 MW Thermal Power Plant Project

PSU has contributed to over 57 per cent of NTPC’s nationwide thermal power installations : During Q2FY25, the company secured orders worth Rs 30,000 crore for projects totaling 7.2 GW

Bharat Heavy Electricals Limited (BHEL), India’s leading public sector enterprise, has been awarded the Main Plant Package contract for NTPC’s 3x800 MW Telangana Stage-II Supercritical Thermal Power Plant. This announcement helped BHEL’s stock recover from a low of Rs 233.50 to a high of Rs 239.84 during the day.

As per the exchange filing, BHEL’s scope of work includes design, engineering, manufacturing, supply, erection, commissioning, and civil construction. BHEL has received a Limited Notice to Proceed (LNTP) from NTPC to begin basic engineering for the project, further solidifying its long-standing partnership with NTPC. Notably, BHEL has contributed to over 57 per cent of NTPC’s nationwide thermal power installations.

With a robust order book exceeding Rs 1,35,000 crore, BHEL is capitalizing on the growing demand for thermal power projects in India. During Q2FY25, the company secured orders worth Rs 30,000 crore for projects totaling 7.2 GW. As part of the government’s plan to tender 80 GW of additional capacity by FY28, 30 GW remains open for bidding, providing a promising pipeline for BHEL.

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In Q2, BHEL reported a 28.5 per cent year-on-year revenue growth, with its EBITDA margin turning positive at 4.2 per cent. As India’s foremost power equipment manufacturer, BHEL has installed over 1,68,000 MW of utility power capacity nationwide, reinforcing its pivotal role in India’s energy and industrial sectors.

Despite these achievements, BHEL’s stock fell by 4 per cent on Tuesday, November 12, 2024, closing at Rs 229.5, with a market capitalization of Rs 80,000 crore. Over the past year, however, the stock has delivered an impressive 68 per cent return.

Disclaimer: This article is for informational purposes only and should not be construed as investment advice.