Bharat Heavy Electricals Ltd (BHEL) witnessed a significant year-on-year decline in its order inflow during the first quarter (Q1: April to June) of FY23.
Much of the decline in order inflow was attributable to power-sector related orders that fell sharply by 37 per cent to Rs.1,574 crore in Q1FY23 from Rs.2,502 crore in Q1FY22. On a long-term average, power sector has been accounting for around 80 per cent of BHEL’s order book.
An uptick in order inflows in the “industry” and “exports” segments was the redeeming factor. Order inflows in the industry segment were up 25 per cent while export orders grew 14 per cent (See table).
It may be mentioned BHEL classifies power transmission orders under the “industry” segment while the “power” sector refers to power generation-related activities.
During the first quarter of FY23, BHEL received some important orders related to power transmission. These included 2×500 MVA, 400kV and 2×200 MVA, 220kV transformer packages, apart from supply of six 500 MVA, 765kV interconnecting transformers.
Also read: BHEL Reports Order Inflow Of Over Rs.23,500 Crore In Q4 Of FY22
Order Book
As of June 30, 2022, BHEL had an outstanding order book of Rs.99,697 crore. Of this, the power accounted for 83.4 per cent followed by industry with 11.7 per cent and exports with 4.9 per cent.
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