Bharat Electronics sees over 15% revenue growth for FY26, R&D focus key to margin and profit

Defence electronics supplier Bharat Electronics (BEL) is projecting an over 15% revenue growth guidance for FY26, and the Chairman and Managing Director Manoj Jain is confident of sustained order inflows in light of border hostilities and Centre’s acute Atmanirbhar push.

CMD Jain said, “I am highly optimistic. I can tell you the growth what I want to have definitely it should be a minimum 15% (growth). So, 15-17.5%, and after five years, we want to touch even 20%. But right now, it is 15-17.5% growth. I am confident we will definitely achieve it in the next five years.”

For FY26, BEL has an EBITDA margin guidance of around 27% and order inflow of more than Rs 27,000 crore. CMD Manoj Jain said they are looking to increase R&D investment to around Rs 1,600 crore and capex to around Rs 1,000 crore. In terms of defence to non-defence business ratio, he said they are expecting around 90:10 ratio.

Jain said with R&D in place, profitability should get a boost. "We are hopeful of indigenization, and lot of products are based on our in-house R&D strengths. So, products and solutions are there that are meeting users' aspirations. Definitely it (revenue growth) will be more than 20%," he said.