Rs 12,743 crore order book: This multibagger construction vehicles manufacturing company bags new orders worth Rs 72.71 crore from Eastern Coalfields Ltd!

The stock gave multibagger returns of over 157.45 per cent in a year whereas BSE Sensex Index is up by 23.07 per cent.

Today, BEML Ltd has bagged order from Eastern Coalfields Ltd for BH100 Rear dumper contract value worth Rs 72.71 crores.

Earlier, BEML Ltd received credit rating from CARE Ratings Ltd. It has given the credit ratings on the following instruments vide on February 20, 2024

Instruments Ratings obtained

1. Long-term bank facilities - CARE A+; Stable
2. Long-term / Short-term bank facilities - CARE A+; Stable / CARE A1+
3. Commercial paper - CARE A1+

BEML Ltd manufactures a wide range of heavy earthmoving equipment catering to the mining and construction industry, vehicles for defence forces and coaches for the metro and Indian Railways. The company has a market cap of Rs 131051 crore and as of December 31, 2023, the company’s order book stands at Rs 12,743 crore.

BEML Ltd has reported a 1 per cent increase in sales for the Quarterly Results of Q3 FY24, from Rs 1,036 crore to Rs 1,047 crore. Additionally, the company has recorded a 1 per cent growth in revenue year-over-year (YoY), from Rs 2,510 crore to Rs 2,541 crore.

As a result of the company's persistent efforts to lower labor costs, personnel costs have decreased by 2 per cent year over year. Compared to the same period last year, the EBITDA margins increased by 34 per cent throughout the nine months, from Rs 83 crore to Rs 110 crore. The Rail & Metro business vertical's implementation of MEMU orders to Indian Railways RGM to LORAM and Mumbai Metro contracts has increased operating revenue.

The profit and loss (PAT) for the nine months ending in December 2023 increased from Rs 0.56 crore to Rs 26 crore, while the PAT margin increased from 0.02 per cent to 1.02 per cent. From its prior level of Rs 35 crore last year, the PBIT has now reached Rs 63 crore. It should be mentioned that the company's cost-effective methods have resulted in a reduction in material costs, which has improved the gross margin. labor costs were reduced as a result of the reduction in labor strength from 5,248 in December 2022 to 4,948 after a year in the same period.

The stock gave multibagger returns of over 157.45 per cent in a year whereas BSE Sensex Index is up by 23.07 per cent.

Investors should keep an eye on this Small-Cap PSU stock.

Disclaimer: The article is for informational purposes only and not investment advice.