This government company, which was a Maharatna, suffered a huge loss, shares fell 18 percent

BHEL's March quarter results were not up to expectations, leading to a fall in its shares.

BHEL’s March quarter results were not up to expectations, leading to a fall in its shares.

Shares of Bharat Heavy Electricals Limited (BHEL, BHEL) fell 18 percent during trading on the BSE on Monday.

New Delhi. In the stock market on Monday, apart from Adani Group, the state-owned Bharat Heavy Electricals Limited (BHEL, BHEL) has suffered a lot. Shares of BHEL fell 18 per cent during trading on BSE on Monday.

However, unlike Adani Group, the reason for the fall in BHEL’s shares is the company’s March quarter results not living up to expectations. It had fallen by 18 per cent to Rs 62.55. However, later there was some improvement in it. At 11.30 am, it was trading at Rs 68.20 with a fall of 10.50 per cent i.e. Rs 8. Significantly, in the March quarter of FY 2021, BHEL had a loss of Rs 1,036 crore. During this period, the company’s revenue increased by 42 percent to Rs 7,171 crore due to low base.

Also read: Many things like ventilator, N-95 mask and sanitizer will be cheaper, GST rate will be reduced

Loss due to weak order position in power sectorICICI Securities said in a note that overall BHEL’s performance in Q4 remained subdued as the company’s operating loss increased despite a low base. Several steps have been taken to improve the situation and focus in many areas. Another brokerage firm Motilal Oswal Financial Services said that the order position in the power sector is very weak, due to which BHEL is struggling.

Read also: Modi government played a big bet to store petroleum, know everything

Company’s consolidated net loss widens to Rs 2,699.70 crore

Public sector engineering company BHEL’s consolidated net loss declined to Rs 1,036.32 crore in the quarter ended March 2021. Its main is the increase in the income of the company. The company said in the information given to the stock market that earlier in the fourth quarter of the financial year 2019-20, the company had a consolidated net loss of Rs 1,532.18 crore. The company’s total income increased to Rs 7,245.16 crore in the fourth quarter of 2020-21 from Rs 5,166.64 crore in the same quarter a year ago. However, for the full financial year 2020-21, the company’s consolidated net loss increased to Rs 2,699.70 crore. Earlier in the financial year 2019-20 it was Rs 1,468.35 crore.

Leave a Reply

Your email address will not be published. Required fields are marked *