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BEL reported earnings of ?6.11 bn, against a yoy profit of ?6.12 bn while sequentially it was a huge growth of 42% over ?4.31 bn. Revenues expanded by 27% qoq and 7.8% yoy at ?39.5 bn. The company reported a robust EBITDA performance as it grew by 67% qoq on the back of softening commodity prices, good order execution and improving cost structure. However, the numbers were flattish yoy on high base. On the margins front, EBITDA margins came in at 21.7% which were massively up by 520 bps qoq but down by 140 bps yoy. The order book now stands ~528 bn providing strong visibility of ~3.1 on TTM basis. BEL added ?20 bn of orders in H1 of FY23 and targets to add ?180 bn in H2 on the back of huge order pipeline. The company also bagged a contract worth ?80 bn from Triton Electric Vehicle India Pvt Ltd (Indian subsidiary of US company Triton Electric Vehicles LLC, USA)) for supply of Lithium ion batteries for which BEL is getting geared up. Cash balance at the end of the quarter was ?10 bn.

Robust opportunities seen through various agreements

BEL has received a Letter of Intent (Lol) from Triton Electric Vehicle India Pvt Ltd (TEV), a part of Triton Electric Vehicle LLC, USA for procurement of 37 lakh units of 300 KW lithiumion battery packs for its semi-truck project in India at an estimated value of ~?80.6 bn The battery packs are to be delivered by BEL to Triton in 24 months, commencing from January 2023. The battery packs will be manufactured at Pune unit of BEL.

BEL has also signed an MoU with TEV for manufacture of hydrogen fuel cells by BEL with technology transfer from TEV, to meet the requirements of Indian market and mutually agreed export markets. The MoU aims at tapping demand for clean energy solutions for various applications including for E- Mobility, by leveraging government of India’s thrust for adoption of clean energy fuels for applications in transport, energy storage etc. It has also signed an MoU with Munitions India Limited (MIL), to address requirements of Indian defence and export markets in the areas of ammunition, explosives and related systems. MIL is also a defence PSU, under the Ministry of Defence, Government of India. MIL, India’s largest manufacturer and market leader, is engaged in the design, development and manufacture of various types of ammunition and explosives including small, medium and high caliber ammunition, mortars, rockets, hand grenades, high explosives and propellants. The MoU aims at leveraging the complementary strengths and capabilities of BEL and MIL under the Make In India initiative

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