Bhel bounces back to black in FY17, crosses 12th Five-Year Plan capacity addition target
Bharat Heavy Electricals Limited (BHEL) has achieved double digit growth in its topline and bounced back into profit in fiscal 2016-17, ending the year with significant traction in growth drivers.
During the year, BHEL recorded a turnover of Rs.28,840 Crore, up 11 per cent over the previous year - after reversing the trend of negative topline growth prevailing for the last three years. The company also returned to profitability with a Profit Before Tax of Rs.628 Crore, compared to a loss of Rs.1164 Crore (IND-AS restated) in the last fiscal. Net Profit (PAT) stood at Rs.496 Crore, against a net loss of Rs.710 Crore (IND-AS restated) in the previous year.
An interim equity dividend of 40 per cent has been paid for 2016-17, maintaining the track record of paying dividends uninterruptedly since 1976-77. In addition, the company has recommended a final dividend of 39 per cent, subject to the approval of shareholders. With this, the total dividend for the year 2016-17 would stand at 79 per cent.
Notably, enhanced focus on project execution has resulted in BHEL achieving a capacity addition of 45,274 MW during the 12th Five Year Plan period (2012-17), surpassing the target of 41,661 MW set by the government for BHEL, by 9 per cent. With this, BHEL continues to remain the single largest contributor to the country's power generation capacity addition. During the year, BHEL commissioned/synchronized 8,539 MW of power generating equipment.
With this, the company's installed power generating capacity has gone up to 178 GW, across the world. BHEL has also forayed as a co-developer into power generation with the commencement of commercial operation of the first 800 MW unit at its Yeramarus TPS (2x800 MW) - a joint venture with equity contribution from KPCL, BHEL and IFCI.
BHEL secured orders worth Rs.23,489 Crore during 2016-17 in its power, industry and export segments. This was achieved despite subdued business environment and global economic uncertainties. The company ended the year with a total order book of over Rs.1,05,200 Crore.
A major highlight of the year was the largest ever export order, valued at US$1.5 billion (Rs.10,000 Crore), for setting up 1,320 MW (2x660 MW) Maitree Super Thermal Power Project in Bangladesh. Significantly, won against stiff international competitive bidding, this is BHEL's largest power project order in the international market.