BHEL Shares Surge 647% in 5 Years, Secures ₹6,500 Cr Adani Power Order

Speedy Summary

• Order Win: Bharat Heavy Electricals Ltd (BHEL) secured a major contract from Adani Power to manufacture six turbines with a capacity of 800MW each for new thermal power plants. Adani Power is now BHEL’s largest private client, with total orders at 20 boilers and turbines combined.
• Financial Growth: BHEL’s Q4 net profit rose to ₹504.45 crore (from ₹489.62 crore YoY), and total income increased to ₹9,142.64 crore (from ₹8,416.84 crore YoY). FY 2024-25 saw profits more than double to ₹533.90 crore compared to last year’s figures, alongside an increase in annual income from ₹24,439.05 crore to ₹28,804.79 crore.
• Order Book Status: The order book crossed the milestone of ₹2 lakh crore after achieving the highest-ever inflows in FY 2024-25-₹92,534 crore overall (of which power sector orders contributed nearly 75%).
• Stock Performance: BHEL shares have climbed by approximately 647% over the past five years but showed a modest rise on Friday after news of the new order win (+3%, trading at Rs 266.95). Trendlyne data indicates mixed signals for investors due to mid-range valuation metrics and high P/E ratio concerns; consensus recommends “HOLD” as price targets suggest potential downside.
• Dividend Declaration: A final dividend of 25% (₹0.50/share) was recommended for FY2024-25; record date set as July 11th ahead of approval during AGM scheduled for July 25th.

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