India Defence Sector Check — Significant Order Inflow With Focus On Indigenisation: ICICI Securities

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.In the last week of FY23, the Ministry of Defence has approved a number of orders, benefitting public sector undertakings such as Bharat Electronics Ltd., Bharat Dynamics Ltd., Garden Reach Shipbuilders and Engineers Ltd., Cochin Shipyard Ltd. and Goa Shipyard. Most of these orders are under the Indian-indigenously designed developed and manufactured category, in line with the government’s focus on indigenisation, hence, we expect consequential benefits for downstream companies in radars, instrumentation and surveillance systems such as Bharat Electronics and Data Patterns India Ltd. The orders comprise the much-awaited backlog for Bharat Dynamics, Bharat Electronics and Shipyards. In our view, the primary beneficiary (among coverage companies) is likely to be Bharat Electronics with direct orders of Rs 118.3 billion and consequential benefits from Akash third and fourth regiments and Next Generation Offshore Patrol Vessels for Goa Shipyard/Garden Reach Shipbuilders. Hence, we expect Bharat Electronics to record Rs 200 billion of order inflow for FY23. With the awarding of Akash third and fourth regiment orders, we believe that a key market expectation for Bharat Dynamics has also been met..Click on the attachment to read the full report:.Internet Sector Q4 Results Preview - Strong B2B; B2C May Be Underwhelming: ICICI Securities.DISCLAIMERThis 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.

India Defence Sector Check — Significant Order Inflow With Focus On Indigenisation: ICICI Securities

Bharat Electronics likely to be the primary beneficiary of the current round of ordering.

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