BEML surges more than 4% to hit 52-week high on bagging Rs 101 crore order from Defence Ministry

Shares of BEML Limited gained more than 4 per cent in morning trade on Wednesday to hit a new 52-week high of Rs 2183.95 apiece on BSE after the company received an order worth Rs 101 crore from the Defence Ministry.

In a filing to the stock exchanges, the leading player in the defence and engineering sectors said that the order is for the supply of Command Post Vehicles to the Indian Army.  The order comes on the heels of BEML successfully managing to bag several contracts over the past few weeks. 

BEML recent orders

The company recently won the contract for the supply of rolling stock 5RS-DM from BMRC. The total order value was Rs 3,177 crore. In June, the company won another contract from the Ministry of Defence worth Rs 423 crore for the supply of high-mobility vehicles.

BEML also secured a Rs 385 crore order from Bharat Electronics (BEL) and Bharat Dynamics (BDL) for the supply of high-mobility vehicles. 

The company's current order book stands at around Rs 12,800 crore, stated Chief Managing Director Shantanu Roy during the recent annual general meeting.

Approximately Rs 3,500 crore worth of orders are executable in FY24 with the company being optimistic about securing additional orders worth Rs 1,000 crore from the mining and construction segment.

BEML's shares are exhibiting a robust performance in the market. The defence company stock has surged over 10 per cent in the last one-week period and 25 per cent in the past one month.

The company reported a loss of Rs 75.01 crore for the quarter ending in June 2023. The company’s revenue also shrank to Rs 576.91 crore, a decline of 13.78 per cent year-on-year and a decline of 58.43 per cent quarter-on-quarter. 

Shares of BEML were trading 2.49 per cent higher at Rs 2,134 apiece on BSE at 1:19 PM.