BEML Posted Muted Yearly Performance

BEML formerly known as Bharat Earth Movers Limited is engaged in manufacture of rail coaches and spare parts and mining equipment. The company's segment includes Mining & Construction, Rail & Metro and Defense. BEML's Trading Division deals in non-Company products. The International Division of the company exports products manufactured by all the three verticals. It has 9 manufacturing units spread over pan-India.

BEML recently announced its fourth quarter and full year financial result for FY2015. Total income of the company boosted by 64.1 per cent to Rs 1279 crore in Q4FY15 on yearly basis. Its total expenditure increased by 52.92 per cent to Rs 1116 crore in Q4FY15 compared to same period of previous financial year. BEML's total expenditure increased primarily due to a 97.65 per cent increment in other expenses, a 42.69 per cent increment in raw material prices, a 36.61 per cent increment in employee cost during the same period.

BEML posted EBITDA of Rs 163 crore in Q4FY15 with growth of 228.59 per cent compared to same period of previous fiscal year. EBITDA margin of the company expanded by 638 basis points to 12.74 per cent in Q4FY15 on yearly basis. Its PAT rose by 164.28 per cent and stood at Rs 169 crore in Q4FY15 against Rs 64 crore in Q4FY14. BEML's PAT margin expanded by 500 basis points to 13.2 per cent in Q4FY15 on yearly basis.

Considering full year consolidated result, BEML's total income decreased by 3.5 per cent from Rs 2904 crore in FY14 to Rs 2802 crore in FY15. Total expenditure of the company reduced by 2.69 per cent in FY15 on yearly basis because of 14.62 per cent reduction in raw material prices during the same period. However, Its employee expenses increased by 7.24 per cent in FY15 compared to previous financial year.

BEML's EBITDA dropped by 27.35 per cent from Rs 95 crore in FY14 to Rs 69 crore in FY15. EBITDA margin of the company contracted by 81 basis points to 2.47 per cent in FY15 on yearly basis. Its PBT too decreased by 45.5 per cent to Rs 5.45 crore in FY15 compared to previous year due to 99.06 per cent reduction in exceptional income to 0.15 crore during the same period. There was reduction in other income by 6.22 per cent to Rs 60 crore in FY15 on yearly basis. Net profit of BEML declined by just 2.79 per cent from Rs 6.1 crore in FY14 to 5.93 crore in FY15 because it had tax benefit of Rs 0.47 crore in FY15 against tax expense of Rs 3.93 crore in FY14 . Net profit margin of the company remain flat at 0.21 per cent in FY15.

Shareholding pattern of BEML indicates that FII holdings boosted by 270 basis points to 6.74 per cent and DII holdings contracted by 389 basis points to 20.08 per cent during March 2015 quarter.

BEML bagged Rs 570 crore order to provide 70 cars from Delhi Metro Rail Corporation in FY15. The company exported mining construction equipment worth Rs 70 cr to M/s Hwange Colliery Zimbabwe.