BEML stock edges up as PSU bags order worth Rs 867 crore from Integral Coach Factory

BEML is a ‘Schedule A’ company under the Ministry of Defence which plays a key role in supporting India's critical sectors such as defence, railways, power, mining, and construction.

Shares of Shares of Bharat Earth Movers Ltd (BEML) edged higher after the state-run company bagged a major contract worth Rs 867 crore from the Integral Coach Factory for design, manufacturing and commissioning of two high-speed trainsets, each comprising 8 cars.

The price of each car is Rs 27.86 crore and the total contract value of Rs 866.87 crore which includes design cost, one-time development cost, non-recurring charges, one-time cost towards Jigs, fixtures, tooling and testing facilities, which will be utilised for all future High-Speed projects in India.

"This project marks a significant milestone in India's high-speed rail journey and will see the first indigenously designed and manufactured trainsets with a test speed of 280 kmph," said BEML in a regulatory filing.

The trainsets will be built at BEML's Bengaluru rail coach complex and are scheduled for delivery by the end of 2026.

Featuring a fully air-conditioned, Chair Car configuration, the trains will offer modern passenger amenities such as reclining and rotatable seats, special provisions for passengers with restricted mobility, and onboard infotainment systems.

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"This contract further strengthens BEML's position as a leader in rolling stock manufacturing and reaffirms its commitment to India's vision of a faster, more efficient rail network," BEML added.

BEML, a ‘Schedule A’ company under the Ministry of Defence, plays a key role in supporting India's critical sectors such as defence, railways, power, mining, and construction. It operates through three main divisions: Defence & Aerospace, Mining & Construction, and Rail & Metro.

With advanced manufacturing facilities spread across Bangalore, Kolar Gold Fields (KGF), Mysore, and Palakkad, the company also boasts a robust R&D infrastructure and a widespread sales and service network across the country.

At 12:31 pm, BEML shares were trading marginally higher at Rs 3,739.30 on the National Stock Exchange (NSE). So far this year, the stock has risen around 31 percent, outperforming Nifty's returns of 15 percent.

In the 12 months gone by, the counter has risen around 54 percent compared to Nifty's gain of 26 percent during this period.

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