Bharat Electronics' Q2 FY 2025-26 Quarterly Results

Result Summary

• Bharat Electronics Ltd reported a 29.2% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Sep (Q2 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 24.8%.
• Its expenses for the quarter were up by 26.9% QoQ and 27.1% YoY.
• The net profit increased 32.8% QoQ and increased 17.8% YoY.
• The earnings per share (EPS) of Bharat Electronics Ltd stood at 1.76 during Q2 FY 2025-26.

Financial Statments for Q2 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Bharat Electronics Ltd (BEL) is a prominent public sector undertaking in India, primarily engaged in the design, development, and manufacturing of electronic products and systems for the defense sector. The company is a leading supplier of advanced electronic products to the Indian Armed Forces. It also caters to civilian markets with products such as radars, sonar, communication systems, and electronic warfare equipment. BEL operates in the defense and aerospace industry, which is known for its high barriers to entry and significant government involvement. Recent developments in the industry may include increasing government emphasis on indigenization and self-reliance, but specific recent developments for BEL are not available from the provided data.

Revenue

In Q2FY26, Bharat Electronics Ltd reported a total income of ₹5946.01 crores, which represents a substantial increase of 29.2% compared to the previous quarter (Q1FY26) and a 24.8% rise year-over-year from Q2FY25. This indicates robust revenue growth for the company over both the quarter and the year. The company's increasing income over these periods may reflect its ability to secure new contracts or expand its market presence. The YoY growth signifies a significant upward trajectory in its revenue stream compared to the previous fiscal year.

Profitability

The profitability of Bharat Electronics Ltd shows a positive trend in Q2FY26. The Profit Before Tax (PBT) reached ₹1727.95 crores, marking a 35.1% increase quarter-over-quarter and a 19.6% increase year-over-year. After accounting for taxes, the Profit After Tax (PAT) amounted to ₹1287.16 crores, up by 32.8% QoQ and 17.8% YoY. These figures highlight an improvement in profitability consistent with the income growth. The company's Earnings Per Share (EPS) also rose to ₹1.76, reflecting a 32.3% increase QoQ and a 17.3% increase YoY, suggesting a favorable impact on shareholder value.

Operating Metrics

The Total Expenses for Bharat Electronics Ltd in Q2FY26 were ₹4218.06 crores, which shows a 26.9% increase compared to the previous quarter and a 27.1% increase from the same quarter last year. This increase in expenses is proportionate to the revenue growth, indicating operational expansion. The tax expense for the quarter was ₹449.53 crores, representing a 41.1% rise QoQ and a 24.4% increase YoY. The operating metrics indicate that while expenses and taxes have risen, the increases have been outpaced by income and profit growth, maintaining the company's profitability. The financial data provided does not include specific ratios or detailed balance sheet items to calculate other financial ratios such as the P/E ratio or debt-to-equity ratio.