New Delhi, July 26: Power equipment maker Bhel today registered a 13 per cent jump in net profit at Rs 921 crore in the first quarter of the fiscal ended June 30 against Rs 815.5 crore in the April-June quarter of 2011-12.
Net sales of the state-owned firm jumped about 17 per cent to Rs 8,326 crore from Rs 7,132 crore in the same period of the previous fiscal, Bhel said in a statement.
However, analysts continued to remain cautious on the outlook of the state-owned firm. Rahul Kaul, analyst with Angel Broking, said, “Owing to a weak order flow outlook and intense competition (domestic as well as foreign) in the sector, we remain cautious of Bhel.”
The company has an outstanding order book position of Rs 133,000 crore at the end of the first quarter of fiscal 2012-13. It includes the Rs 950-crore contract to supply equipment for the 1,020MW hydel project in Bhutan, which the company bagged last month.
The government had recently approved a 21 per cent duty to protect the domestic power equipment makers.
The duty is likely to benefit firms such as Bhel, L&T-Mitsubishi Heavy Industries and Bharat Forge-Alstom.