Mumbai — Bharat Heavy Electricals Limited (BHEL) reported a 120% increase in quarterly net profit, sending shares of the state-owned engineering company to a record high as stronger revenue and improved operating margins boosted earnings.
The company posted a consolidated net profit of 8.1 billion rupees for the quarter ended September 2026, up from 3.68 billion rupees in the same period last year, according to a stock exchange filing.
Revenue from operations climbed 23.8% year-over-year to 93 billion rupees, compared with 75.11 billion rupees in the corresponding quarter of fiscal 2026.
Operating performance also improved significantly, with earnings before interest, taxes, depreciation and amortization (EBITDA) rising 76.6% to 10.26 billion rupees from 5.81 billion rupees a year earlier.
BHEL’s EBITDA margin expanded to 11% from 7.7% in the year-earlier quarter, reflecting stronger operating efficiency despite an increase in expenses.
The company reported other expenses of 7.21 billion rupees, compared with 3.91 billion rupees in the preceding quarter.
Separately, BHEL’s board approved a capital expenditure proposal of approximately 5 billion rupees to expand manufacturing facilities for thermal and nuclear power equipment at its Heavy Electrical Equipment Plant in Haridwar.
The investment is intended to strengthen the company’s production capacity as demand for power generation equipment continues to grow.
The board also approved the merger of BHEL’s Electrical Machines Repair Plant in Mumbai with its Electronics Division in Bengaluru. The Electronics Division will serve as the surviving entity, with the restructuring scheduled to take effect November 1, 2026.
The strong earnings report helped extend BHEL’s stock market rally, with shares reaching an all-time high of 463.60 rupees on Wednesday.
The stock has gained more than 58% since the beginning of 2026 and approximately 99% over the past year. Over the past five years, BHEL shares have surged more than 521%.
Wednesday’s record price represented more than double the stock’s 52-week low of 229.70 rupees, recorded in September 2025.
The earnings growth and planned manufacturing expansion underscore BHEL’s efforts to capitalize on increasing investment in India’s power generation infrastructure, particularly in thermal and nuclear energy. (Source: IANS)
