BHEL Reports Bigger Loss in June Quarter
Bharat Heavy Electricals Limited (BHEL), a government-owned engineering company, reported a larger loss for the first quarter of fiscal year 2025-26. The company’s consolidated net loss widened to ₹455.5 crore, compared with a ₹211.4 crore loss in the same period last year. This loss more than doubled compared to the year-ago quarter.
Revenue and Expenses Tell Different Stories
BHEL’s total income saw a small increase, rising slightly from about ₹5,581 crore last year to approximately ₹5,658 crore this year. However, a sharp rise in total expenses—from around ₹5,875 crore to ₹6,280 crore—led to the deeper loss.
Share Prices Fall on Disappointing Results
Following the earnings announcement, BHEL shares fell by about 5%, with an intraday dip of over 7% at one point. The drop reflected investor concerns over soaring costs and the company’s financial setback.
What Comes Next for BHEL?
Experts noted that fixed-price legacy contracts, especially in the power sector, hurt performance. But optimism remains: BHEL has a strong order book, and completion of these projects could improve profits in future quarters. Analysts expect business to get better from the second half of the year.
