Source: Mint
BHEL is considered one of the largest public sector units in India. Investors will likely turn their attention toward shares of Bharat Heavy Electricals Limited (BHEL) on Monday after Adani Power announced a major order.
BHEL announced its receipt of the Letter of Award (LoA), from Adani Power, for the supply and assistance with installation of six thermal power units, each with a capacity of 800 megawatts MW in a stock exchange filing on Friday after market hours.
Order Details
As per the order, BHEL will supply steam turbine generators and associated auxiliary equipment. The firm will also provide installation and commissioning supervision/assistance with these units.
The order value totals ₹6,500 crore, excluding Goods and Services Tax (GST), the company stated. This big ticket deal is expected to further BHEL’s positions in the power equipment market.
Excellent Results in FY25
This order comes at a time when BHEL is already witnessing strong business growth. In FY25, BHEL experienced its highest-ever yearly order inflows at ₹92,534 crore.
BHEL also noted a 19% growth in revenues at ₹27,350 crore for fiscal year 2024-25.
In the power sector alone, BHEL registered orders worth ₹81,349 crore. In other sectors including transportation, defence and manufacturing, it booked new orders worth ₹11,185 crore, demonstrating BHEL’s growing footprint across its business.
With a healthy project portfolio, BHEL has commenced the current financial year (FY26) with good momentum and business visibility.
Market Expectations
Adani Power’s significant order will likely bolster investor confidence even further. Not only does this order demonstrate BHEL’s ability to secure large orders, but it will also add to BHEL’s order book. Analysts believe that the stock will react positively on Monday when markets open.
In summary, BHEL secured a significant order worth ₹6,500 crore from Adani Power, marking a key milestone in its growth journey.. This will likely be termed as the board’s mission statement, or more like a plan statement, in the company’s growth path. The size of this deal adds to BHEL’s record-breaking FY25 performance and strengthens its leadership in the power equipment market, and hopefully, anyone in the power equipment space. In addition, as part of a continued push to expand the power equipment and related sectors, the positive sentiment of the company will re-emphasize the overall positive sentiment of investors and analysts alike
