BHEL Q2 profit jumps 120% to ₹810 crore; stock hits record ₹463

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BHEL Q2 profit jumps 120% to ₹810 crore; stock hits record ₹463

Synopsis

BHEL's Q2 FY27 net profit more than doubled to ₹810 crore — a 120 per cent jump — while revenue crossed ₹9,300 crore and the stock hit an all-time high of ₹463.60. The board also approved a ₹500 crore capacity push at Haridwar and a plant merger, signalling confidence in a sustained power-sector upcycle.

Key Takeaways

BHEL reported a 120.1 per cent year-on-year rise in net profit to ₹810 crore for Q2 FY27 (quarter ended September 2026).
Revenue from operations grew 23.8 per cent to ₹9,300 crore ; EBITDA rose 76.6 per cent to ₹1,026 crore .
EBITDA margin expanded to 11 per cent from 7.7 per cent a year earlier.
Board approved ₹500 crore capex for new thermal and nuclear manufacturing capacity at HEEP, Haridwar .
Merger of EMRP (Mumbai) into Electronics Division (Bengaluru) approved, effective 1 November 2026 .
BHEL shares hit a record ₹463.60 , up more than 521 per cent over five years.

Bharat Heavy Electricals Limited (BHEL) shares surged to an all-time high on Wednesday, 14 October 2026, after the Maharatna state-run engineering major posted a 120 per cent year-on-year jump in consolidated net profit for the September quarter (Q2 FY27), powered by robust revenue growth and a meaningful expansion in operating margins. The strong quarterly numbers cemented BHEL's standing as one of India's top-performing public sector stocks this year.

Key Financial Highlights

According to BHEL's stock exchange filing, consolidated net profit for the quarter ended September 2026 came in at ₹810 crore, up sharply from ₹368 crore in the corresponding period of the previous financial year — a 120.1 per cent increase. Revenue from operations climbed 23.8 per cent to ₹9,300 crore, compared with ₹7,511 crore in Q2 FY26.

Operating performance also strengthened considerably. EBITDA rose 76.6 per cent year-on-year to ₹1,026 crore from ₹581 crore a year earlier, while the EBITDA margin expanded to 11 per cent from 7.7 per cent in the year-ago quarter — a sign that BHEL is not merely growing revenues but improving profitability at the operational level. However, other expenses rose to ₹721 crore from ₹391 crore in the previous quarter, according to the regulatory filing.

Board Approves ₹500 Crore Capex and Plant Merger

Separately, BHEL's board cleared a capital expenditure proposal of approximately ₹500 crore to set up additional manufacturing facilities for thermal and nuclear equipment at its Heavy Electrical Equipment Plant (HEEP) in Haridwar. The investment is aimed at scaling up manufacturing capacity in line with rising demand from India's power sector.

The board also approved the merger of the Electrical Machines Repair Plant (EMRP) in Mumbai with the Electronics Division (EDN) in Bengaluru. The Electronics Division will serve as the merged entity, with the restructuring set to take effect from 1 November 2026. Analysts view the consolidation as a move to streamline operations and reduce overhead across overlapping units.

Stock Rally and Market Performance

Wednesday's results-driven surge pushed BHEL shares to a record high of ₹463.60, more than doubling from their 52-week low of ₹229.70 recorded in September 2025. The stock has gained more than 58 per cent in calendar year 2026 and is up 99 per cent over the past twelve months. Over a five-year period, BHEL shares have surged more than 521 per cent, delivering multibagger returns to long-term investors.

This comes amid a broader revival in India's power and infrastructure capital expenditure cycle, with the Centre ramping up spending on thermal, renewable, and nuclear capacity — all areas where BHEL holds a dominant order book position.

What's Next for BHEL

The ₹500 crore capacity expansion at Haridwar and the EMRP-EDN merger signal that BHEL's management is positioning the company for a sustained order cycle rather than a one-quarter uptick. With government-backed power projects filling the pipeline and margin improvement gathering pace, the trajectory heading into the second half of FY27 looks constructive — though execution of the restructuring and the pace of capex deployment will be closely watched by institutional investors.

Point of View

And Q2 FY27 suggests those ambitions are finally translating into earnings. The margin expansion — from 7.7 per cent to 11 per cent — is the real story; top-line growth at a PSU engineering firm is expected when government orders flow, but margin recovery signals operational discipline. The ₹500 crore Haridwar investment and the EMRP-EDN merger, taken together, look like a deliberate bet on the nuclear and electronics segment — the two areas where BHEL has historically underperformed private peers. Whether management can execute the restructuring without disrupting order delivery will determine if this rally is a re-rating or just a results pop.
NationPress
14 Oct 2026

Frequently Asked Questions

What were BHEL's Q2 FY27 results?
BHEL reported a consolidated net profit of ₹810 crore for the September 2026 quarter, a 120.1 per cent jump from ₹368 crore a year earlier. Revenue from operations rose 23.8 per cent to ₹9,300 crore, and EBITDA margin expanded to 11 per cent from 7.7 per cent.
Why did BHEL shares hit a record high on 14 October 2026?
BHEL shares touched an all-time high of ₹463.60 after the company posted sharply better-than-expected quarterly earnings, with net profit more than doubling year-on-year. The stock has now gained over 58 per cent in 2026 and more than 521 per cent over five years.
What is the ₹500 crore capex approved by BHEL's board?
BHEL's board approved approximately ₹500 crore to set up additional manufacturing facilities for thermal and nuclear equipment at its Heavy Electrical Equipment Plant (HEEP) in Haridwar. The investment is intended to scale capacity in line with rising demand from India's power sector.
What is the EMRP-EDN merger and when does it take effect?
BHEL's board approved the merger of the Electrical Machines Repair Plant (EMRP) in Mumbai with the Electronics Division (EDN) in Bengaluru, with the Electronics Division serving as the surviving entity. The restructuring is scheduled to take effect from 1 November 2026.
How has BHEL stock performed over the past year?
BHEL shares have gained 99 per cent over the past twelve months and more than 58 per cent in calendar year 2026 alone. Over five years, the stock has surged more than 521 per cent, making it one of the best-performing Maharatna PSU stocks on Indian exchanges.
Nation Press
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