Capital Goods · NSE: BEL
Bharat Electronics
Q2 FY27 earnings call · Guided by management
Call held 3 Nov 2026 · Read the filing on NSEFiling
- M.Cap
- ₹2,95,900Cr₹2.96L Cr
- P/E
- 46.2×
- 1Y return
- −4.70%
- From 52W high
- −14.5%
Highlights are read by AI from the company's filing and can contain mistakes. Check the source page linked to each line.
Share price
Results Q2 FY27, as filed · consolidated · ₹ Cr
| Q2 FY27 | Q2 FY26 | YoY | Q1 FY27 | QoQ | |
|---|---|---|---|---|---|
| Revenue | 7,328 | 5,792 | +26.5% | 5,547 | +32.1% |
| EBITDA | 2,041 | 1,702 | +19.9% | 1,388 | +47.0% |
| EBITDA margin | 27.9% | 29.4% | -154 bps | 25.0% | +282 bps |
| PBTProfit before tax | 2,054 | 1,728 | +18.9% | 1,396 | +47.1% |
| Net profit | 1,540 | 1,288 | +19.6% | 1,054 | +46.1% |
| EPS (₹) | 2.11 | 1.76 | +19.9% | 1.44 | +46.5% |
From the company's own results filing on NSE. Net profit is the owners' share. Growth and the dotted lines are worked out from the filed figures.
Guidance
Order inflow guidance given at year start to be met or exceeded
Manoj Jain · Chairman and Managing Director · Q&A · p. 9
Order inflow guidance given at year start to be met or exceeded
“Definitely, we are fully confident. Whatsoever guidance we have given to you at the year start, we are going to meet or exceed that.”
More figures from the call
“So total INR25,000 crores without QRSAM and with QRSAM INR55,000 crores, which was our guidance, we are sticking to that.”
“R&D investment of INR2,200-plus crores, capex of around INR1,200 crores.”
“EBITDA margins of around 28%, the order inflow of INR25,000 crores minimum, excluding QRSAM and including QRSAM, INR50,000-plus crores.”
“Combined IR and RF seeker, 1,000 plus we can make easily right now. And if need arises, we can scale it up if required to 2 to 3x more.”
“And NGC also, I think it is more around 4-plus years, which we will take to execute after getting this order.”
“But definitely, I hope next year, we may get at least 1 or 2 big orders in this based on our 6 to 8 big leads and big tie-ups which we have done with the start-up community.”
In short
- 01Revenue growth for FY27 is planned at 15% to 20%, with the year-start guidance kept.
- 02EBITDA margin guided at around 28%; capex around Rs 1,200 crore; R&D Rs 2,200-plus crore.
- 03Order inflow guidance of Rs 25,000 crore excluding QRSAM and Rs 55,000 crore including QRSAM kept.
- 04About Rs 20,000 crore of NGC orders expected before the financial year closes.
- 05QRSAM order of about Rs 30,000 crore expected very soon; management is over 99% confident it comes to BEL.
- 06H1 FY27 revenue rose 25.97% to Rs 12,824 crore; PAT rose 14.80% to Rs 2,589 crore.
- 07Order book stood at Rs 68,717 crore as on 1 October 2026.
Capacity
Seekers: IR seeker manufacturing set up at new Machilipatnam factory
Manoj Jain · Chairman and Managing Director · Q&A · p. 28
Seekers: IR seeker manufacturing set up at new Machilipatnam factory
“And we have a very good manufacturing setup for these IR seekers at our new factory in Machilipatnam, near to Machilipatnam, Nimmaluru.”
Order book
NGC: Formal NGC orders from shipyards may take 1 day to 6 months
Manoj Jain · Chairman and Managing Director · Q&A · p. 6
NGC: Formal NGC orders from shipyards may take 1 day to 6 months
“But the formal order from them will now start formally. That may take, let me tell you, 1 day to 6 months.”
NGC: One or two NGC line items may slip; all expected before March as of today
Manoj Jain · Chairman and Managing Director · Q&A · p. 7
NGC: One or two NGC line items may slip; all expected before March as of today
“So maybe 1- or 2-line items may slip. But as on today, it looks like all the line items of NGC, we may get order before March.”
NGC: NGC Rs 20,000-plus crore covers electronics and radars, excludes missiles
Manoj Jain · Chairman and Managing Director · Q&A · p. 10
NGC: NGC Rs 20,000-plus crore covers electronics and radars, excludes missiles
“So missiles are excluded, all the electronics and electronics mills, communication equipment, EW equipment and radars. So all put together, the number which I have shared with you, roughly INR20,000-plus crores, we are expecting orders.”
NGC: NGC is the major portion of the Rs 25,000 crore inflow guidance
Manoj Jain · Chairman and Managing Director · Q&A · p. 11
NGC: NGC is the major portion of the Rs 25,000 crore inflow guidance
“And in this INR25,000 crores, yes, major portion will be NGC.”
Some NGC orders may slip to April; Rs 25,000 crore still expected to be crossed
Manoj Jain · Chairman and Managing Director · Q&A · p. 11
Some NGC orders may slip to April; Rs 25,000 crore still expected to be crossed
“So from November, December, January, February, March, some order may slip to April also. So that is our estimation. So if that slips, even then we are comfortable with our other orders in hand, we are definitely going to cross INR25,000 crores.”
Segments
Defence to non-defence business mix typically 90:10
Manoj Jain · Chairman and Managing Director · p. 32
Defence to non-defence business mix typically 90:10
“And defense to nondefense business, typically 90:10.”
Drones: Drone and counter-drone is the second most focused area after missiles
Manoj Jain · Chairman and Managing Director · Q&A · p. 14
Drones: Drone and counter-drone is the second most focused area after missiles
“After our missile, arms and ammunition, the second most focused area for us is drone and counter drone.”
Missiles: BEL is DCPP partner for LRLACM and Pralay; expects future orders
Manoj Jain · Chairman and Managing Director · Q&A · p. 15
Missiles: BEL is DCPP partner for LRLACM and Pralay; expects future orders
“But right now, our official LRLACM and Pralay missile, we are the DCPP partner for DRDO, and we expect some orders in future for these 2 missiles.”
QRSAM: Coming QRSAM order described as the first order of the programme
Manoj Jain · Chairman and Managing Director · Q&A · p. 16
QRSAM: Coming QRSAM order described as the first order of the programme
“Definitely, yes. We told earlier also, this is the first order. Whatsoever we are going to get will be the first order.”
Seekers: BEL not yet in BrahMos seeker
Manoj Jain · Chairman and Managing Director · Q&A · p. 27
Seekers: BEL not yet in BrahMos seeker
“But as you had observed rightly that we are not there till date in BrahMos seeker.”
Demand
Counter drone: Counter-drone export orders hoped for soon after trials concluded
Manoj Jain · Chairman and Managing Director · Q&A · p. 14
Counter drone: Counter-drone export orders hoped for soon after trials concluded
“So we are hopeful to get good export orders very soon because very good development, very good trials were concluded.”
Missiles: 60% to 70% of missile cost goes into electronics
Manoj Jain · Chairman and Managing Director · Q&A · p. 16
Missiles: 60% to 70% of missile cost goes into electronics
“The cost of missile, 60% to 70% goes in missile electronics.”
Electronic warfare: Requirement for EW projects has increased sharply
Manoj Jain · Chairman and Managing Director · Q&A · p. 20
Electronic warfare: Requirement for EW projects has increased sharply
“For all EW also, actually, EW-related projects, you might be seeing now very, very increased requirement because overall, the environment, EW-wise also is very, very hostile.”
Seekers: Seekers are 20% to 30% of missile cost
Manoj Jain · Chairman and Managing Director · Q&A · p. 28
Seekers: Seekers are 20% to 30% of missile cost
“seekers also, mostly in many of the missile programs have 20% to 30% of the cost of the missile is actually seekers, very, very critical, most costliest component.”
Drone, counter-drone and missiles named as very big markets
Manoj Jain · Chairman and Managing Director · Q&A · p. 16
Drone, counter-drone and missiles named as very big markets
“So for these 2 markets, definitely very, very big markets are there for these 2 segments. And we are also working seriously to capture as much as we can in these 2 domains.”
Margins and costs
H1 FY27 EBITDA 27.43%; EPS Rs 3.54 versus Rs 3.09
Manoj Jain · Chairman and Managing Director · p. 3
H1 FY27 EBITDA 27.43%; EPS Rs 3.54 versus Rs 3.09
“The EBITDA up to Q2 is 27.43%. The earnings per share has increased to INR3.54 up to Q2 as compared to INR3.09.”
Margins similar on nomination and competitive orders
Manoj Jain · Chairman and Managing Director · Q&A · p. 10
Margins similar on nomination and competitive orders
“Let me tell you, whether it is nomination or competition, more or less similar margins will be there, okay? In nomination, we don't get higher margins.”
Steel and alloy materials are only 1% or 2% of product cost
Manoj Jain · Chairman and Managing Director · Q&A · p. 22
Steel and alloy materials are only 1% or 2% of product cost
“Hardly in our product, 1% or 2% is the material cost of these types of things because ours is mainly electronics.”
Acquisitions and new business
Counter drone: Microwave DEW being added to counter-drone hard kill option
Manoj Jain · Chairman and Managing Director · Q&A · p. 14
Counter drone: Microwave DEW being added to counter-drone hard kill option
“In that hard kill option, now we are adding microwave DEW based on our own in-house efforts as well as our DRDO efforts.”
HAPS: BEL is selecting a partner for HAPS programme
Manoj Jain · Chairman and Managing Director · Q&A · p. 19
HAPS: BEL is selecting a partner for HAPS programme
“So, we are careful in selecting a right partner so that my development risks are minimal and my winning probability is more in that program. So we are in that process of selecting a right partner for HAPS.”
Steering and control project with MIDHANI and BEML needs large investment and grants
Manoj Jain · Chairman and Managing Director · Q&A · p. 21
Steering and control project with MIDHANI and BEML needs large investment and grants
“But this technology requires much more larger investments. And that investments are possible with some investment from our side and some in the form of grants.”
Tamil Nadu Explosives Limited now owned by BEL for next 30 years
Manoj Jain · Chairman and Managing Director · Q&A · p. 24
Tamil Nadu Explosives Limited now owned by BEL for next 30 years
“This Tamil Nadu Explosives Limited is now owned by BEL. For the next 30 years, at least it is there with BEL.”
DEW: Developing both microwave and laser directed energy weapons
Manoj Jain · Chairman and Managing Director · Q&A · p. 30
DEW: Developing both microwave and laser directed energy weapons
“Both. Both type of weapons we are developing, microwave as well as laser-based.”
Risks
Private sector may get some missile orders in future if government decides
Manoj Jain · Chairman and Managing Director · Q&A · p. 5
Private sector may get some missile orders in future if government decides
“But yes, in future, if government decides and if private sector comes up to that level, definitely, there will be chances of getting different type of orders to them”
QRSAM: QRSAM price escalation for delay mostly not expected
6monthsManoj Jain · Chairman and Managing Director · Q&A · p. 23
QRSAM: QRSAM price escalation for delay mostly not expected
6months“So mostly, we may not get any escalation, maybe barring if we are lucky, maybe some 6 months escalation”
QRSAM: QRSAM delay: internally expected minimum August-September, not slipped much
Manoj Jain · Chairman and Managing Director · Q&A · p. 26
QRSAM: QRSAM delay: internally expected minimum August-September, not slipped much
“we also knew it may be minimum August, September only. So it has not slipped that much.”
EOIR: EOIR basic detector not fully in BEL's control; work with DRDO
Manoj Jain · Chairman and Managing Director · Q&A · p. 30
EOIR: EOIR basic detector not fully in BEL's control; work with DRDO
“But yes, detector, there are challenges, which we are overcoming jointly with DRDO.”
HAPS: HAPS technology described as still maturing
Manoj Jain · Chairman and Managing Director · Q&A · p. 19
HAPS: HAPS technology described as still maturing
“But as per my understanding, it is still maturing. It is not a mature solution. It is still maturing.”
Other
H1 FY27 revenue Rs 12,824 crore, up 25.97% from Rs 10,180 crore
Manoj Jain · Chairman and Managing Director · p. 3
H1 FY27 revenue Rs 12,824 crore, up 25.97% from Rs 10,180 crore
“The revenue from operations increased to INR12,824 crores up to Q2 as compared to INR10,180 crores with a growth of 25.97%.”
H1 FY27 profit before tax Rs 3,467 crore, up 14.66%
Manoj Jain · Chairman and Managing Director · p. 3
H1 FY27 profit before tax Rs 3,467 crore, up 14.66%
“The profit before tax has also increased to INR3,467 crores up to Q2 as compared to INR3,023 crores with a growth of 14.66%.”
H1 FY27 profit after tax Rs 2,589 crore, up 14.80%
Manoj Jain · Chairman and Managing Director · p. 3
H1 FY27 profit after tax Rs 2,589 crore, up 14.80%
“The profit after tax has increased to INR2,589 crores up to Q2 as compared to INR2,255 crores previous year up to the same time with a growth of 14.80%.”
BEL has no ammunition making facility now
Manoj Jain · Chairman and Managing Director · Q&A · p. 24
BEL has no ammunition making facility now
“Ammunition making facility, we don't have as of now.”
Deliveries being advanced by 1 to 2 months versus commitments
Manoj Jain · Chairman and Managing Director · Q&A · p. 25
Deliveries being advanced by 1 to 2 months versus commitments
“And whatsoever we had committed to our own users, we are preponing by another 1 month, 2 months type of thing.”
Sources
- Earnings call transcript, Q2 FY27 Filed 6 Nov 2026 · 33 pages
Management's own statements, quoted from its NSE filings. This page was read by AI and can contain mistakes: check the source pages before relying on any figure. No forecast or opinion of ours. Not investment advice.