Bharat Heavy Electricals Ltd (BHEL) delivered a strong financial performance in Q3 FY25, showcasing growth in key financial metrics. The company posted significant improvements in revenue and profitability, highlighting its resilience and efficiency.
Revenue Growth of BHEL
BHEL reported sales of Rs. 72,770.90 million in Q3 FY25, reflecting a 32.22% increase compared to Rs. 55,038.10 million in Q3 FY24. The company maintained steady operations, leading to higher sales volume.
Other Income and Operating Profit of BHEL
The company earned Rs. 1,162.40 million in other income, marking an 11.61% rise from Rs. 1,041.50 million in the same quarter last year. The Profit Before Interest, Depreciation, and Tax (PBIDT) grew by 31.12%, reaching Rs. 4,204.80 million compared to Rs. 3,206.90 million in Q3 FY24. The higher PBIDT indicates improved operational efficiency.
Interest Costs and Profit Before Depreciation & Tax (PBDT)
BHEL reduced its interest expenses by 3.07%, with costs at Rs. 1,837.80 million against Rs. 1,896.00 million in Q3 FY24. The Profit Before Depreciation and Tax (PBDT) surged by 80.56%, reaching Rs. 2,367.00 million, reflecting better cost management and operational execution.
Depreciation and Profit Before Tax (PBT) of BHEL
Depreciation expenses increased by 12.01% to Rs. 678.80 million from Rs. 606.00 million in the previous year. Despite this, Profit Before Tax (PBT) saw an impressive 139.49% jump, climbing to Rs. 1,688.20 million from Rs. 704.90 million in Q3 FY24.
Tax Expenses and Net Profit (PAT) of BHEL
The company paid Rs. 440.50 million in taxes, an 82.18% increase from Rs. 241.80 million in the same period last year. Deferred tax stood at Rs. 424.90 million, up by 139.52% from Rs. 177.40 million in Q3 FY24. BHEL’s Net Profit (PAT) soared by 169.42%, reaching Rs. 1,247.70 million compared to Rs. 463.10 million in Q3 FY24, showcasing strong bottom-line growth.
Profit Margins and Equity of BHEL
The company’s Profit Before Interest, Depreciation, and Tax Margin (PBIDTM) stood at 5.78%, slightly lower than 5.83% in Q3 FY24. The equity base remained stable at Rs. 6,964.10 million.
BHEL Q3 FY25 Financial Summary
| Metric | Q3 FY25 | Q3 FY24 | % Variation |
|---|---|---|---|
| Sales | 72,770.90 | 55,038.10 | 32.22% |
| Other Income | 1,162.40 | 1,041.50 | 11.61% |
| PBIDT | 4,204.80 | 3,206.90 | 31.12% |
| Interest | 1,837.80 | 1,896.00 | -3.07% |
| PBDT | 2,367.00 | 1,310.90 | 80.56% |
| Depreciation | 678.80 | 606.00 | 12.01% |
| PBT | 1,688.20 | 704.90 | 139.49% |
| TAX | 440.50 | 241.80 | 82.18% |
| Deferred Tax | 424.90 | 177.40 | 139.52% |
| PAT | 1,247.70 | 463.10 | 169.42% |
| Equity | 6,964.10 | 6,964.10 | 0.00% |
| PBIDTM(%) | 5.78 | 5.83 | -0.83% |
The Bottom Line
BHEL delivered an outstanding Q3 FY25 performance with significant revenue growth, cost efficiency, and profit improvement. The company strengthened its financial position by boosting sales and reducing interest expenses. Investors and stakeholders can expect further growth as BHEL continues to optimize operations and enhance profitability.
Disclaimer: This blog is for informational purposes only and should not be considered as financial advice or any buy/sell recommendations.
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