Bharat Electronics Net Profit Slips 2.96% to Rs. 191.74 Crore

BEL is a state-owned electronics company and primarily manufactures advanced electronic products for the Indian Armed Forces. The Net Sales of the company stood at Rs. 1172.40 crore in the quarter ended 31 December, 2013 as compared to Rs. 1443.69 crore in the corresponding quarter of last fiscal, showing a decline of 18.79%. Other operating income for the current quarter rose by 34.8% at Rs. 29.01 crore as against Rs. 21.52 crore in the same quarter last year. On account of this, the total income for the quarter came in at Rs. 1201.42 crore, dipping by 18%.

The cost of materials consumed for the company also came down substantially by 34.62% at Rs. 672.47 crore in Q3FY14 as compared to Rs. 1028.63 crore in Q3FY13. However, the employee benefits expense increased to Rs. 284.85 crore in the current quarter from Rs. 240.59 crore in the corresponding quarter of previous year, showing a growth of 18.4%. Due to decline in purchases of stock-in-trade and reduced cost of materials consumed, the total expenses of the company came in at Rs. 1057.68 crore in the current quarter as compared to Rs. 1337.36 crore in the corresponding quarter last fiscal, showing a fall of 20.91%. The Net Profit slipped by 2.96% to Rs. 191.74 crore in Q3FY14 with EPS of Rs. 23.97 as against Rs. 197.59 crore in Q3FY13.

For the nine-month period, the net sales of the company stood at Rs. 3066.32 crore as compared to Rs. 3262.82 crore last year. The total income came down by 5.45% to Rs. 3144.50 crore as against Rs. 3325.70 crore in last fiscal. The total expenses also declined to Rs. 3123.01 crore as compared to Rs. 3375.77 crore in the previous year, down 7.5%. The Net Profit for the period dropped by 9.68% to reach Rs. 268.37 crore as compared to Rs. 297.13 crore last year.

An interim dividend of Rs. 6 per share for the year 2013-14 was declared by the board of directors at the meeting which was held today.