Why has BEL been in so much of limelight in the last few days?

Bharat Electronics has been on the radar of investors for a long time for two reasons. The first reason was the Make in India initiative that had opened up a huge opportunity for the company in terms of options available. Second was the proposed divestment or rather privatization, but that appears to be in the back burner for the time being. On 23 June, BEL scaled a 3-year high price of Rs.167 after a reporting a strong set of results.

Let us turn to the results now. For the Mar-21 quarter, BEL reported 31% higher PAT at Rs.1,352 crore even as top line sales revenues were up by 19% at Rs.6,908 crore in the Mar-21 quarter. Interestingly, the EBITDA margins improved by nearly 300 basis points from 25.5% last year to 28.5% in this year. BEL had a robust order book position of Rs.53,434 crore, with orders worth Rs.15,800 crore coming this year from the in-sourcing decision.