Shares of BHEL gain on signing a memorandum of cooperation with EDF

About the memorandum of cooperation

Bharat Heavy Electricals (BHEL) and Electricite de France S.A., France (EDF), a French state-owned company and largest nuclear operator worldwide, have signed a Memorandum of Cooperation (MoC) to explore the opportunity to maximize the local content of the Jaitapur Nuclear Power Plant Project (6×1650 MWe) to be established by NPCIL in India. Further, BHEL and EDF will also explore larger collaboration for the European Pressurized Reactors (EPRs) and for the NUWARD SMR (Small Modular Reactor).

Stock Performance   

Bharat Heavy Electricals is currently trading at Rs 159.80, up by 3.65 points or 2.34% from its previous closing of Rs 156.15 on the BSE. The scrip opened at Rs 160.55 and touched a high and low of Rs 162 and Rs 158.45 respectively. So far 10,13,349 shares have been traded on the counter.

The BSE group ‘A’ stock of face value of Rs 2 has touched a 52-week high of Rs 162 and a 52-week low of Rs 66.30. Last one week high and low of the scrip stood at Rs 162 and Rs 141.05, respectively. The current market cap of the company is Rs 54,372.42 crore. The promoters holding in the company stood at 63.17%, while Institutions and Non-Institutions held 23.22% and 13.61% respectively.

Financial Performance 

BHEL’s financial performance for the quarter ended September 30, 2023, was mixed. Net sales increased by 2.62% quarter-on-quarter (QoQ) to Rs 4,944.78 crore, while total expenditure increased by 2.71% to Rs 5,513 crore. As a result, PBIDT (excluding OI) decreased by 6.49% to Rs -387.71 crore and PAT increased by 30.54% to Rs -250.07 crore.

Year-on-year (YoY), net sales increased by 0.34% to Rs 4944.78 crore, while total expenditure increased by 1.22% to Rs 5,513 crore. As a result, PBIDT (excluding OI) decreased by 58.95% to Rs -387.71 crore and PAT decreased by 12858.67% to Rs -250.07 crore.

About BHEL 

Bharat Heavy Electricals Limited (BHEL), established in 1964, is a leading power equipment manufacturer and one of India’s largest engineering and manufacturing enterprises in the energy and infrastructure sectors. The company designs, engineers, manufactures, tests, commissions, and services a wide range of products, services, and systems for core sectors of the economy, including power generation, transmission, industry, transportation, renewable energy, oil & gas, water, defence & aerospace, and e-mobility & energy storage solutions.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.