State-run Defense Firm Develops Advanced Akash Missile System; Order Book Nears ₹26,000 Crore
Bharat Dynamics Limited (BDL), a state-owned enterprise in the defense sector, has successfully manufactured the first production model of the Advanced Akash Weapon System.
This project is valued at over ₹8,160 crore, and the path for its imminent delivery has now been cleared. The company is establishing new manufacturing units in Hyderabad and Uttar Pradesh, where the advanced systems and propellants will be produced. These units will feature:
Rocket motor testing facilities
- Warhead penetration testing capabilities
- Large-scale manufacturing of Grad rockets
- In-house Research and Development (R&D) capabilities
- Production at these plants is expected to commence in the financial year 2027.
Order Book and Future Outlook
The company’s current order book stands at approximately ₹26,000 crore. Furthermore, the company has expressed optimism regarding the receipt of new orders worth ₹15,000 crore in FY27.
Weakness in Financial Performance
However, the company’s quarterly results remained under pressure:
- Net profit declined to ₹73 crore (down from ₹147 crore last year)
- Revenue fell by 32% to ₹566.3 crore
- EBITDA plummeted by 79.7% to ₹25.7 crore
- EBITDA margin contracted from 15.2% to 4.5%
Stock Price Volatility
On Friday, the company’s shares touched an intraday high of ₹1,204; however, they subsequently shed their early gains and were seen trading with fluctuations around the ₹1,181 mark.
