BHEL shares surge over 3% on bagging ₹7,500 crore order from Gujarat State Electricity Corporation

Shares of Bharat Heavy Electricals Limited (BHEL) rose as much as 3.29% on the BSE to hit an intraday high of ₹213.65. On the National Stock Exchange, BHEL shares rose as much as 3.45% to hit an intraday high of ₹213.67. The stock came under buying interest after it informed exchanges that it received a letter of intent from Gujarat State Electricity Corporation Limited (GSECL) for an order worth ₹7,500 crore.

The order is for engineering, procurement, and construction (EPC) package for supply of Boiler, Turbine, Generator and associated auxiliaries along with erection and commissioning works and civil works for 1x800 MW Ukai Extn Unit No. 7 TPS in Tapi District, Gujarat, BHEL said in a stock exchange filing.

The company won the order through international competitive bidding and it has to execute it within 54 months.

The company had received a similar letter of intent worth ₹6,700 crore from Singareni Collieries Company Limited (SCCL) last month for supply and, erection, testing and commissioning of boiler, turbine, generator and associated works for Singareni Thermal Power Project in Telangana.

BHEL reported consolidated net profit of ₹135 crore in December quarter, marking an increase of 125% from ₹60 crore in the same period last year. Its revenue from operations rose 32% in October-December period to ₹7,277.09 crore as against ₹5,503.81 crore in the year-ago period.

BHEL shares have so far this year declined 6.82% outperforming the BSE200 index which has declined 3.37%, data from the stock exchange showed.

As of 11:12 am, BHEL shares traded 2.74% higher at ₹212.10, outperforming the SENSEX which was up 0.72%. On the National Stock Exchange, BHEL shares rose 2.49% to ₹211.68.