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News: Bharat Electronics (BEL) has announced that the company received orders worth Rs 4878 crore. This includes an order worth Rs 4522 crore from Indian Army for the supply of electronic fuses for various calibres and multiple orders worth Rs 356 Crores for other products like EW (Electronic Warfare) Testers, Medical Systems (Exports), Consumables and Batteries for Electronic Voting Machines (EVMs), Night Vision Devices Spares and Services. As per the MoD’s press release, contract for electronic fuses is for a period of 10 years.
Views: With these orders, BEL’s order inflow stands at Rs 23176 crore during YTDFY24, which exceeds its full year order inflow guidance of Rs 20000 crore. The order backlog is estimated to be at ~Rs 74000 crore (4.1x TTM revenues) provides healthy revenue growth visibility. Moreover, the order pipeline remains strong in defence electronics systems, non-defence and exports.
Impact: Positive