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- BEL reported revenue growth of 9.2% QoQ / 14.8% YoY, recording a revenue of Rs. 4,583 crores, missing the street estimate of Rs. 4,691 crores. The growth during the quarter was driven by an uptick in order execution.
 - The EBITDA margin came in at 30.3% (up 798 bps QoQ / up 514 bps YoY), beating the street estimate of 22.2%. The margin expansion was on account of operational efficiency. EBITDA, which was up 48.2% QoQ and up 38.2% YoY to Rs. 1,389 crores, surpassing the market estimates of Rs. 1,039 crores.
 - Net profit stood at Rs. 1,091 crores (up 40.6% QoQ / up 34.3% YoY), beating the market estimate of Rs. 894 crores. The PAT margin was 23.8% (up 532 bps QoQ / up 476 bps YoY).
 - The company's order book position as of 1 October 2024 stood at Rs. 74,595 crores vs. Rs. 76,705 crores (QoQ).
- For the first half of FY25, BEL reported a turnover of Rs. 8,530 crores, reflecting a growth of 15.8% YoY over the turnover of Rs. 7,365 crores recorded in the same period last year.
- During H1FY25, BEL reported a PAT of Rs. 1,867 crores for the first half of FY 2024-25, marking a substantial 39.0% increase over the PAT of Rs. 1,343 crores recorded during the same period last year.

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BEL reported a strong financial performance during the quarter, registering growth on all fronts. The company did miss its revenue estimates but highlighted its strong operational capabilities by beating the street on the other two fronts. The enhanced margin was on account of lower gross expenses and some cuts in employee wages. The company’s robust surge in PAT and healthy order book further highlight the company’s resilience and demand in the market. We believe the management will likely increase its guidance on revenue and margins on the back of a better demand outlook as the government's focus on domestic production drives significant investment in the sector. Thus, owing to its healthy leverage as a result of its market position, the company is likely to see healthy growth in its order book as we advance, which will further bolster its position in the market.

 

 

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