- 12 Sep 2024
- ICICI Securities
BEL BAGS CONTRACTS WORTH RS 1155 CRORE
News: Bharat Electronics (BEL) has received multiple contracts worth Rs 1155 crores. This includes an order worth Rs 850 crore from Cochin Shipyard (CSL) for the supply of indigenous Multi-Function Radar in X Band. This fully indigenous radar designed by DRDO and manufactured by BEL is capable of detecting, acquiring and tracking airborne targets to provide protection to naval ships. Additionally, BEL has secured orders worth Rs 305 crore, which include navigational complex system for ships, thermal imagers, communication equipment, fire control system, gun control system, spares, services, etc.
Views: With these orders, BEL has now accumulated orders totalling Rs 7075 crore in YTDFY25. Order backlog is estimated at Rs 76500 crore (3.6x TTM revenue) gives healthy revenue growth visibility. Order inflows outlook remains robust for electronics systems/sub-systems across defence & non-defence segments. Management guided ~Rs 25000 crore worth of order inflows for FY25E. Astra Microwave Products (AMPL) is also expected to be involved in supplying sub-systems/components to BEL in X-band multi-function radar contract.
Impact: Positive