BHEL net profit up 85% to Rs 236.7 cr

Bharat Heavy Electricals recorded 85 per cent jump in first quarter net profit to Rs 236.7 crore in 2006-07 as against Rs 127.9 crore in the first quarter of the previous financial year.

Income from operations of the power equipment major grew by 36 per cent to Rs 2887.3 crore during the quarter against Rs 2114.3 crore in the corresponding period last year.

Other income during the quarter under review stood at Rs 120.1 crore, over 29 per cent jump from the corresponding quarter last financial. Total expenditure went up to Rs 2569.1 crore, up from Rs 1942.8 crore, a 32 per cent increase over Q1 2005-06.

The company attributed this healthy performance to streamlining of costs, better design efficiency and a continuing up trend in the order book.

An analysis of the segment revenue shows that its twin businesses of power and industry grew at a healthy clip. Revenues from the power segment stood at Rs 2192.8 crore, while the industry segment recorded revenues of Rs 770.6 crore.

Profitability in the power segment increased by almost 90 per cent to Rs 408.9 crore, while the industrial segment recorded a marginal decline to Rs 36.2 crore.

The BHEL scrip closed at Rs 1967.60, up Rs 15.35 from yesterday's close of Rs 1952.25. The results were declared after market hours.