ADVERTISEMENT
ADVERTISEMENT

Bharat Electronics Q3 Results Review - Good Performance; Orderbook Accretion Awaited: ICICI Securities

Going ahead, we expect the potential for defense orders, especially production of QRSAM, to aid earnings in the near term.
BQPrime
<div class="paragraphs"><p>Nuclear Biological Chemical Reconnaisance Vehicle by Bharat Electronics Ltd. (Source Company website)</p></div>
Nuclear Biological Chemical Reconnaisance Vehicle by Bharat Electronics Ltd. (Source Company website)
ADVERTISEMENT

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. 

ICICI Securities Report

Bharat Electronics Ltd.'s Q3 FY23 performance was ahead of street estimates on all counts. Key points:

  1. Ebitda at Rs 8.6 billion was 5% ahead of street estimates;

  2. orderbook dropped for third successive quarter, but execution has picked up; and

  3. Ebitda margin at 20.8% was a tad lower, owing to other expenses rising 76% YoY.

Going ahead, we expect the potential for defense orders, especially production of quick reaction surface-to-air missile, to aid earnings in the near term. We also believe that the recently accorded acceptance of necessity for capital acquisition proposals by the Defense Acquisition Council holds good potential for the company.

Hence, we expect orderbook to start growing soon as and when the orders are placed.

Click on the attachment to read the full report:

ICICI Securities Bharat Electronics Q3FY23 Results.pdf
Opinion
Bharat Electronics Q3 Results Review - Execution Inline; Higher Costs Impact Margins: ICICI Direct

DISCLAIMER

This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Get Regular Updates