Earnings Review
Bharat Electronics Q1 PAT up 8% YoY; in line with view
This story was originally published at 19:17 IST on 27 July 2026
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--Bharat Electronics Apr-Jun net profit INR 10.48 bln
--Analysts saw Bharat Electronics Apr-Jun net profit at INR 10.36 bln
--Bharat Electronics Apr-Jun revenue INR 55.33 bln
--Analysts saw Bharat Electronics Apr-Jun revenue at INR 50.36 bln
--Bharat Electronics Apr-Jun net profit INR 10.48 bln vs INR 9.69 bln yr ago
--Bharat Electronics Apr-Jun revenue INR 55.33 bln vs INR 44.17 bln yr ago
--Bharat Electronics order book INR 722.58 bln as on Jul 1
--Bharat Electronics: No material impact due to ongoing conflicts in Israel
By Astha Oriel
NEW DELHI – Bharat Electronics Ltd. reported a slight year-on-year rise in net profit for the June quarter despite total expenses growing faster than revenue from operations and total income. Gains from changes in inventories of finished goods, work-in-progress, and scrap and a decline in finance costs and other expenses helped to limit the rise in expenses. A reversal in deferred tax supported the bottom line.
Bharat Electronics reported a rise of over 8% on year in net profit to INR 10.48 billion, in line with analysts' consensus estimate of INR 10.36 billion. The company's net profit for the year-ago quarter was INR 9.69 billion.
The company's net sales rose over 25% on year to INR 55.33 billion, higher than analysts' consensus estimate of INR 50.36 billion. Its revenue for the year-ago quarter was INR 44.17 billion. This is the 17th consecutive quarter of a year-on-year rise in net profit and revenue from operations. Sequentially, the net profit declined over 52% and revenue was down nearly 46%.
The company's total income declined over 24% on year to INR 57.01 billion. However, the total expenses rose nearly 31% on year to INR 42.98 billion. Of this, the cost of materials consumed, which accounted for 71% of total expenses, grew nearly 56% on year to INR 30.36 billion. Costs related to depreciation and amortisation jumped over 35% on year to INR 1.53 billion and expenses related to employee benefits rose nearly 14% on year to INR 7.86 billion.
The finance costs, however, declined over 19% on year to INR 11.6 million and other expenses declined nearly 19% on year to INR 3.42 billion. As of Jul. 1, the company's order book was worth INR 722.58 billion. The company said there was no material financial impact from the conflicts involving Israel in West Asia. "In view of the ongoing conflicts in Israel, the company has analysed the existing contracts/agreements with companies based in Israel. In our opinion there is no material financial impact as at the date of the results," it said.
Monday, shares of Bharat Electronics closed at INR 407.15 billion on the National Stock Exchange, up 0.5% from Friday. End
Edited by Rajeev Pai
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