Rs 1,60,157 Crore Order Book: Heavy Electrical Equipment Company Bags New Orders Worth Over Rs 20,000 Crore In Just 10 Days
The company has been maintaining a healthy dividend payout of 27.8 per cent.
Bharat Heavy Electricals Ltd (BHEL), a leading public sector enterprise under the Ministry of Heavy Industries and Public Enterprises, has been at the forefront of India's power sector for over six decades. With a strong track record in the design, engineering, and manufacturing of a wide range of power generation equipment, BHEL has played a pivotal role in powering the nation's economic growth. BHEL Limited manufactures various power plant equipment.
Order 1: BHEL has secured a Letter of Award from Maharashtra State Power Generation Company Limited (MAHAGENCO), a Maharashtra government undertaking, for the BTG package (including equipment supply, erection, commissioning, and civil works) of the 2x660 MW Koradi Thermal Power Station Units 11 & 12 in Nagpur, Maharashtra. This domestic order, awarded through Local Competitive Bidding, is valued at approximately Rs 8,000 crore (excluding GST). The project involves the completion of Performance Guarantee Tests and the handover of Unit-11 within 52 months and Unit-12 within 58 months.
Order 2: BHEL in consortium with Hitachi Energy India Limited (HEIL), has received a Letter of Intent (LOI) from Rajasthan Part I Power Transmission Limited (a special purpose vehicle under Adani Energy Solutions Limited) for the BF800 HVDC Project. This domestic order involves the design and execution of a High Voltage Direct Current (HVDC) link and associated AC substations to transmit 6000 MW of renewable energy from Bhadla III (Rajasthan) and Fatehpur (Uttar Pradesh). Specifically, the project entails establishing two HVDC LCC terminal stations of 6000 MW each at Bhadla and Fatehpur, along with a +800 kV HVDC LCC terminal station (4x1500 MW) connecting Bhadla III and Fatehpur. The LOI, issued by a domestic entity, precedes a formal contract and anticipates project completion by 2030.
Order 3: BHEL has received a Letter of Intent (LOI) from Damodar Valley Corporation (DVC), Kolkata, for the Steam Generator Island Package of the 2x660 MW Raghunathpur Thermal Power Station Phase-II project in Purulia district, West Bengal, India. The LOI covers the supply, erection, testing, and commissioning of the steam generator and auxiliaries, ESP, FGD systems, ash handling systems along with electrical and C&I, and associated civil works. This domestic order, won through International Competitive Bidding, is valued at approximately Rs 6,200 crore excluding taxes and duties. The project involves the completion of facilities within 48 months and 52 months.
Order 4: BHEL has received a Letter of Intent (LOI) from Singareni Collieries Company Limited (SCCL) for the EPC package of the 1x800 MW Singareni Thermal Power Project, Stage II, located in Mancherial district, Telangana, India. The LOI, dated February 14, 2025, covers the supply, erection, testing, and commissioning of the boiler, turbine, generator, FGD, associated auxiliaries, electrical and C&I, balance of plant packages, and associated civil works. This domestic order, awarded through Domestic Competitive Bidding, is valued at approximately Rs 6,700 crore excluding taxes and duties, with a project completion timeline of 48 months.
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Results: According to Quarterly Results, the net sales increased by 32 per cent to Rs 7,277 crore and net profit increased by 207 per cent to Rs 116.44 crore in Q3FY25 compared to Q3FY24. In its nine-month results, the company reported net sales of Rs 19,346 crore and a net loss of Rs 19.64 crore in 9MFY25 while in its annual results, the company reported net sales of Rs 23,893 crore and a net profit of Rs 218.24 crore in FY24.
The company has a market cap of over Rs 65,000 crore. The President of India’s portfolio owns 63.17 per cent and Life Insurance Corporation of India’s portfolio owns 6.72 per cent as of December 2024. The company’s order book stands at Rs 1,60,157 crore. The company has been maintaining a healthy dividend payout of 27.8 per cent. Investors should keep an eye on this PSU stock.
Disclaimer: The article is for informational purposes only and not investment advice.