BHEL shares fall for a third day on concerns over arbitration impact

BHEL shares decline over a percent; continue to be impacted by arbitration

Trade

• Watchlist
• Portfolio
• Message
• Set Alert

 

 

Choose Stock Exchange: BSE LIVE NSE LIVE

26 Aug, 2025 12:21

Volume

Todays L/H

More

×

Shares of Bharata Heavy Electricals fell over a percent for a third consecutive session on February 21, following over Rs 30 crore arbitration case recently initiated against the company.

Read about Stock Market updates LIVE

On Tuesday, the company shares were trading at a decline with the news of Ducon Technologies Inc. and Ducon Infratechnologies having initiated arbitration proceedings for recovering nearly Rs 27 crore, alongside other interests amounting against BHEL-BAP Ranipet.

The selloff follows a 5 percent drop seen on February 18, when the arbitration was initiated.

For the quarter ended December of the current fiscal year, BHEL's net profit surged by 170 percent, reaching Rs 124 crore. At the same time, its revenue grew by 32 percent to Rs 7,277 crore.

The company's Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) rose by 40 percent to Rs 304 crore. Its margin expanded by 30 basis points to 4.2 percent, up from 3.9 percent last year. However, the margin expansion was tempered by a significant rise in other expenses.

BHEL saw a remarkable 167 percent increase in order inflow, which reached Rs 6,860 crore. Its order book also grew by 47 percent year-on-year, standing at Rs 1.6 lakh crore. Revenue from the power segment grew by 32 percent to Rs 5,588 crore, while the industrial segment saw a 33 percent increase, reaching Rs 1,688.6 crore. Both segments experienced margin expansion compared to the previous year.

Earlier this week, BHEL announced a Rs 6,700 crore contract win from Singareni Collieries Company (SCCL), to establish an 800 MW thermal power unit in Telangana. The contract is on Engineering, Procurement, and Construction (EPC) basis, which includes design, engineering, manufacturing, supply, erection, commissioning, and civil works as a part of the project.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.