BHEL Reports Record Q2 Profit of ₹821 Crore, Shares Surge
Bharat Heavy Electricals Ltd. achieves a remarkable Q2 net profit, driving its shares to a record high.
BHEL's Q2 net profit more than doubles to ₹821 crore, exceeding estimates.
Revenue rises 23.8% YoY to ₹9,300 crore, surpassing market expectations.
BHEL shares hit a record high of ₹460.90 following the earnings announcement.
Bharat Heavy Electricals Ltd. (BHEL) has reported a significant increase in its financial performance for the second quarter of FY27, achieving a net profit of ₹821 crore, which is more than double the ₹375 crore reported in the same quarter last year. This impressive result, announced on October 14, 2026, has led to a surge in BHEL's stock price, reaching a record high of ₹460.90 per share.
The company's revenue also saw a remarkable growth of 23.8% year-on-year, climbing to ₹9,300 crore from ₹7,512 crore. This figure not only surpassed the market's expectations of ₹8,319 crore but also reflects BHEL's robust performance across its power and industrial segments. The power business revenue rose by 17% to ₹6,638 crore, while the industrial segment experienced a staggering 45% increase to ₹2,662 crore.
BHEL's strong performance was further highlighted by its EBITDA, which surged 76.7% year-on-year to ₹1,026 crore, exceeding analysts' estimates of ₹843 crore. The EBITDA margin also improved significantly, rising to 11% from 7.7% in the previous year. The company's board has approved additional manufacturing capacity for thermal and nuclear projects, investing ₹500 crore at its Haridwar facility, which is expected to bolster future growth.
The implications of BHEL's strong quarterly results extend beyond the company itself. The record high in its share price reflects increased investor confidence, which could positively impact the broader market. Additionally, BHEL's substantial order book of ₹2.6 lakh crore provides strong revenue visibility, ensuring continued momentum in the power sector. Investors will be closely monitoring the company's future order inflows and margin quality, particularly in light of its ongoing projects linked to Adani.
Looking ahead, BHEL is set to maintain its growth trajectory as it focuses on executing higher-margin projects and improving its operational efficiencies. The company's management is expected to provide further insights into its strategies during upcoming earnings calls, with particular attention on cash flow management and working capital performance. The next quarter will be crucial for BHEL as it navigates the challenges and opportunities in the evolving energy landscape.
