Did BEL Secure Rs 1,092 Crore in Defence Orders?

Synopsis
Key Takeaways
- BEL has secured contracts worth Rs 1,092 crore.
- Focus has shifted back to the defence sector.
- Major upgrades planned for electronic warfare and defence networks.
- Collaboration with BDL for missile production.
- Significant stock performance over the past year.
New Delhi, Sep 29 (NationPress) Bharat Electronics Limited (BEL) has successfully obtained new contracts amounting to Rs 1,092 crore since September 16, as disclosed in a stock market filing on Monday.
The significant contracts encompass enhancements for electronic warfare systems and defence networks, tank subsystems, transmit/receive modules, communication equipment, electronic voting machines, along with spare parts and services.
This marks a renewed emphasis on the defence sector for BEL, following earlier reports indicating a predominance of orders from the information technology sector.
In its exchange filing, this Navratna defence public sector undertaking affirmed that these new orders will bolster its contribution to India’s strategic electronics landscape.
“As a Navratna defence public sector undertaking, Bharat Electronics Limited (BEL) has secured additional orders valued at Rs.1092 Crore since our last update on September 16,” stated the company.
“Key orders include upgrades for EW Systems, Defence Networks, Tank Sub Systems, TR Modules, Communication Equipment, EVM, Spares, and Services,” they added in their filing.
Following this announcement, BEL's shares rose by 2.85 percent to Rs 407.2 each on the Bombay Stock Exchange (BSE), outperforming the benchmark Nifty 50 index, which gained 0.4 percent.
On the National Stock Exchange (NSE), BEL's shares closed 1.24 percent higher at Rs 399.95 following the news.
In addition, BEL is collaborating with Bharat Dynamics Limited (BDL) to co-manufacture a new missile developed by the Defence Research and Development Organisation (DRDO).
This missile, boasting a range of 30 km, is designed to track moving targets and can be launched at short intervals, thereby enhancing India’s defence capabilities.
Earlier this month, from September 1 to September 17, BEL acquired orders totaling Rs 712 crore, primarily from the IT and cybersecurity sectors, covering projects like IT infrastructure, blockchain solutions, electronic support measure systems, communication equipment, spares, and services.
The stock has generated substantial returns for investors, having increased by over 40 percent in the past year and 36.43 percent year-to-date (YTD).