Bharat Heavy Electricals Ltd. share price target

Bharat Heavy Electricals’ (BHEL) Q2FY23 revenue grew 2% YoY to Rs52bn, led by 6.4% growth in power segment to Rs38bn.

Bharat Heavy Electricals (BHEL) during FY22 witnessed improvement in execution as most covid-related challenges abated.

Bharat Heavy Electricals’ (BHEL) Q4FY22 performance was ahead of our estimates as revenues grew 12.4% YoY to Rs81bn led by 24% YoY growth in power segment. Raw material cost to sales remained elevated at 72% due to increase in commodity prices, impacting the gross margin.

BHEL, a government owned entity, is India's largest engineering company and dominates the supply of equipment for power plants in India. Key products include gas turbines, generators, thermal sets, diesel shunters,...

BHEL reported another loss making 2QFY22. While revenue stood ~10% above our expectation, lack of operating leverage led to losses at the operating level. It reported a net loss of INR675m, below our expected loss of INR2.3b, owing to lower other expenses (reversal of provisions ~INR1.8b) and revaluation of depreciation charges by ~INR580m. Adjusted for the above two items, losses are in line with our expectation. Of the total order book of INR1.1t, the executable order book stands at INR90b. Around 50% of the order book is fixed cost contracts, thus posing a...

of Covid, diversion of oxygen cylinders for medical usage and lower labor availability. During 1Q, withdrawal of provision worth Rs1.8bn resulted in EBITDA loss narrowing down to Rs4.7bn (vs Rs11bn in Q1FY21 and Rs12.6bn...

BHEL, a government owned entity, is India's largest engineering company and dominates the supply of equipment for power plants in India. Key products include gas turbines, generators, thermal sets, diesel shunters,...