Bharat Heavy Electricals Limited , a Government of India Undertaking, has announced that its Board of Directors approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, at its meeting held on May 4, 2026. The board also recommended a final dividend of ₹1.40 per share (face value ₹2 per share), representing 70% on the paid-up share capital for FY 2025-26. The dividend, if declared at the Annual General Meeting, shall be paid or dispatched within 30 days from the date of the AGM. The communication was issued by Company Secretary Dr. Yogesh R Chhabra and signed by Chairman & Managing Director K. Sadashiv Murthy from BHEL House, Siri Fort, New Delhi.

Key Meeting Details

The board meeting was conducted in compliance with Regulation 33 and Regulation 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were directly placed before the Board of Directors, as the Board Level Audit Committee could not be convened due to lack of quorum, given that currently only one Independent Director is on the Board of BHEL.

Standalone Financial Performance

Bharat Heavy Electricals Limited delivered a significantly improved standalone financial performance for the year ended March 31, 2026. Revenue from operations rose to ₹33,782.18 Crore from ₹28,339.48 Crore in the previous year, surpassing the company's guidance of ₹325B. Standalone net profit for the full year stood at ₹1,577.95 Crore, compared to ₹512.97 Crore in the prior year. For the quarter ended March 31, 2026, standalone net profit was ₹1,282.68 Crore against ₹504.05 Crore in the corresponding quarter of the previous year, beating the estimated ₹7.8B. Q4 EBITDA surged to ₹17.5B from ₹8.3B year-on-year, with the EBITDA margin expanding sharply to 14.24% from 9.25% in the same period last year.

Consolidated Financial Performance

On a consolidated basis, which includes the company's joint ventures — BHEL-GE Gas Turbine Services Private Limited (BGGTS), Raichur Power Corporation Ltd., NTPC-BHEL Power Projects Pvt. Ltd., and Bharat Coal Gasification and Chemicals Limited (BCGCL) — the company reported a net profit of ₹1,600.26 Crore for the full year, up from ₹533.90 Crore in the previous year. Consolidated revenue from operations remained at ₹33,782.18 Crore, consistent with the standalone figure.

Segment-Wise Performance (Standalone)

BHEL operates through two primary business segments — Power and Industry. The Power segment continued to be the dominant revenue contributor, with full-year revenue from operations of ₹25,406.71 Crore compared to ₹20,937.25 Crore in the prior year. The Industry segment reported full-year revenue of ₹8,375.47 Crore against ₹7,402.23 Crore previously.

Balance Sheet and Cash Flow Highlights

As at March 31, 2026, standalone total assets stood at ₹76,560.13 Crore compared to ₹68,479.32 Crore as at March 31, 2025. Total equity on a standalone basis was ₹26,516.49 Crore. Cash and cash equivalents improved to ₹1,435.45 Crore from ₹439.21 Crore at the start of the year. Net cash from operating activities on a standalone basis was ₹5,837.38 Crore for the year ended March 31, 2026, compared to ₹2,192.47 Crore in the prior year.

Key Financial Ratios and Additional Disclosures

The company's standalone operating profit ratio for the full year stood at 6.93% compared to 4.38% in the prior year. The total debt to total assets ratio was 0.11 for the year ended March 31, 2026. BHEL has retained "CARE A1+" rating by CARE Edge Ratings and "Ind A1+" rating by India Ratings & Research for Commercial Paper. All commercial papers issued during the year have been repaid on their respective due dates, and the outstanding listed commercial paper as on March 31, 2026 is nil.

The auditors — K. Venkatachalam Aiyer & Co. (FRN: 004610S) and K. S. Dua & Co. (FRN: 017478N) — have issued unmodified audit opinions for both the standalone and consolidated financial statements for the year ended March 31, 2026. The financial results have been prepared in accordance with Indian Accounting Standards (Ind AS) as prescribed under Section 133 of the Companies Act, 2013. The company also noted that trade receivables include an overdue amount of ₹196 Crore (USD 23 million, post receipt of USD 2.5 million in the current year) from customer STPG (formerly NEC Sudan), stuck due to the ongoing crisis in Sudan, which has been considered good and not provided for.

Bharat Heavy Electricals Limited (BHEL) has entered into a Licensing Agreement for Transfer of Technology (LAToT) with the Naval Science and Technological Laboratory (NSTL), Vishakhapatnam, a constituent laboratory under the Defence Research and Development Organisation (DRDO). The agreement was disclosed to the stock exchanges under Regulation 30.

Agreement Details

The LAToT focuses on the Gas Turbine-Infrared Suppression System (GT-IRSS) for Naval Vessels. This domestic agreement enables BHEL to undertake fabrication, installation, and commissioning of the LM2500 GT-IRSS systems designed and developed by NSTL-DRDO India.

Technical Scope

The agreement encompasses three critical operational areas that will enhance BHEL's naval technology capabilities:

• Fabrication: Manufacturing of LM2500 GT-IRSS components and systems
• Installation: Technical deployment and integration of systems in naval vessels
• Commissioning: Final testing, validation, and operational readiness of installed systems

Strategic Significance

This collaboration represents a significant advancement in India's defense indigenization initiatives. The LM2500 GT-IRSS (Gas Turbine - Infrared Signature Suppression) technology is crucial for modern naval vessels, providing enhanced operational capabilities while reducing detectability.

The partnership leverages BHEL's manufacturing expertise and DRDO's research and development capabilities to create indigenous solutions for the Indian Navy. The LAToT will strengthen BHEL's diversification efforts in the Defence segment and contribute to the Government's 'Make in India' initiative and Atmanirbhar Bharat vision for defense manufacturing.

Industry Impact

The technology transfer agreement positions BHEL as a key player in India's naval defense manufacturing sector. By acquiring advanced naval vessel technology capabilities, the company expands its defense portfolio beyond traditional power generation equipment. This diversification strategy strengthens BHEL's position in the growing defense manufacturing market and contributes to reducing India's dependence on foreign naval technology suppliers.