Bharat Electronics Limited — Q3 FY26
Bharat Electronics delivered a strong Q3 FY26 with 19% YoY revenue growth to ₹17,332 crore (9M) and 21% PAT growth to ₹3,845 crore.
bullish
high
✓ Verified against BSE filing
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
79%Questions answered1Evaded / deflected12Questions auditedMixedNumbers vs filing
Evasive
High priority
Will sales guidance be revised upward given 19% growth in 9M?
Asked by Umesh Raut, Nomura India
Management did not give a revised number, only said they will achieve or exceed existing guidance.
no number givenreframed to 'achieve or exceed'
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Question
My first question is pertaining to the guidance for FY 2026, now, given that we have received reported about 19% sales growth in first nine months, and we have received closer to INR 19,300 crore of orders. So are we revising our sales growth number upwards?
Manoj Jain, Chairman and Managing Director
So regarding guidance, as we told, we are consistent about our guidance. So whatsoever guidance we gave at the start of the year, we are maintaining that, and we are confident that we will achieve or exceed this guidance.
Answered
High priority
Are NGC orders included in FY26 guidance of INR 27,000 crore?
Asked by Umesh Raut, Nomura India
Management directly confirmed inclusion of NGC orders in guidance.
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Question
So are we including these NGC orders in our guided number of INR 27,000 crore for FY 2026?
Manoj Jain, Chairman and Managing Director
Yes, this, around INR 3,000-4,000 crore is, included in that, for 25, 26, because we expected this conclusion.
Answered
High priority
Is EBITDA margin guidance of 27% likely to be exceeded given 29% in 9M?
Asked by Umesh Raut, Nomura India
CFO directly stated they maintain 27% guidance despite higher 9M margin.
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Question
So are we expecting a major outperformance in terms of EBITDA margin for full year 2026?
Damodar Bhattad, CFO
No, as of now, we maintain the EBITDA margin of 27%, what we have guided for the current year. Because it's a composition of products which we sell.
Partial answer
High priority
What drove margin expansion and outlook for FY27?
Asked by Jyoti Gupta, Nirmal Bang
Management maintained FY26 guidance but deferred FY27 outlook to next call.
deferred to next yearno FY27 guidance given
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Question
What's your outlook for margin stability through FY 2026 and into FY 2027? Are there any headwinds from input costs or manpower expenses that we should expect for FY 2027? And also, can you elaborate on the key drivers behind this margin expansion?
Damodar Bhattad, CFO and Manoj Jain, CMD
FY 2026, as we told, we are maintaining the margin of 27%, EBITDA margin of 27% for the current year. As far as the next financial is concerned, we'll be giving our guidance when we meet next time.
Partial answer
High priority
What large orders beyond QRSAM ensure 15% growth?
Asked by Amit Anwani, Prabhudas Lilladher Capital
Management gave a broad number but did not specify which orders.
no specific orders namedvague pipeline
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Question
Just wanted to understand, apart from QRSAM, which is expected to sustain growth, you will be needing more than INR 30,000-35,000 kind of intake. So, does that give you confidence that we are going to have this kind of intake? Are there any medium to large orders which you're expecting in next 12 to 18 months?
Manoj Jain, Chairman and Managing Director
There are so many projects in pipeline for next financial year other than QRSAM, and we are closely watching that, and definitely it will be more than INR 25,000 crore, which we are seeing minimum other than QRSAM.
Answered
High priority
Why not revise EBITDA margin guidance upward given strong 9M?
Asked by Amit Anwani, Prabhudas Lilladher Capital
Management explained product mix shift and reaffirmed 27% guidance.
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Question
What stops us to revise the guidance? Because the EBITDA for guidance at 27% for Q4 is only 25%. So are we expecting the product mix to be not favorable in Q4 or maybe next year as well?
Manoj Jain, Chairman and Managing Director
Product mix has been more favorable up to December, and maybe slightly lesser favorable from this time on. We feel that the EBITDA margin will be maintained around 27%.
Answered
Medium priority
What is the semiconductor chip cost as % of COGS?
Asked by Amit Dixit, Goldman Sachs
Management provided a clear percentage range.
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Question
As a percentage of COGS, how much would this chip cost be? Just a broad estimate.
Manoj Jain, Chairman and Managing Director
Out of the BOM, bill of material, let us say bill of material is 100. So in that 100, around 20%-30% typically will be semiconductor chips, typically.
Answered
Medium priority
What were the major revenue platforms in Q3?
Asked by Amit Dixit, Goldman Sachs
Management listed specific projects and gave a revenue figure.
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Question
If you can break down the revenue broadly into the execution by platforms, that would be great.
Manoj Jain, Chairman and Managing Director
Major orders we have executed in Q3. Up to Q3, we have executed mainly LRSAM project, Himshakti project, Battlefield Surveillance project, Lynx Fire Control System, Akash Army, LRUs for LCA Mark 1A, all the digital LRUs, and Shakti EW system. These seven projects itself would have accounted for around INR 5,000+ crore.
Answered
High priority
Why is Akash NG not in near-term pipeline and what is its size?
Asked by Harshit Patel, Equirus Securities
Management explained timeline and gave an estimated order size of INR 2,500-3,000 crore.
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Question
Why you haven't included Akash next generation in your near term or the next one-year pipeline? What would be the price and probable timeline for this large project?
Manoj Jain, Chairman and Managing Director
Akash NG, per se, is the next generation Akash, for which trials are already completed. Now, the process of AoN approval will be put up, and that's why we are not that much confident that by next year end we may get. It may spill over to next to next year.
Answered
High priority
What programs constitute the remaining INR 8,000 crore inflows?
Asked by Hardik Rawat, IIFL Capital
Management named specific programs and gave order sizes.
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Question
Which systems, you know, in our expectations, what programs are going to constitute this, INR 8,000 crore of balance inflows?
Manoj Jain, Chairman and Managing Director
Mainly to LCA order from HAL, we are expecting very soon, anytime, because we have done conclusion of price also. That is our biggest order in this quarter for us. As I told you, NGC and the Shatrughat, these two we are hoping to get by this year itself.
Partial answer
Medium priority
What is the breakdown of QRSAM project cost and BEL's in-house share?
Asked by Kavish Parekh, BNK Securities
Management gave broad percentages but refused to quantify BEL's in-house portion.
declined to quantify in-house sharedeferred to after order receipt
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Question
Could you please break down the total project cost into key components, and who will be the key suppliers for the same? For instance, missiles go to BDL. It would be great if you could quantify the same, and also mention what would be the order values for vehicles, launchers, et cetera, and how much of the content will be handled by BEL in-house?
Manoj Jain, Chairman and Managing Director
Missile order itself will be around, roughly around 30% of the total order value. ... remaining orders will be executed by BEL. ... which is around 70%, as you can say, will be executed by BEL with the other industry partners of BEL.
Answered
Medium priority
What is the extent of non-linear provision in other expenses?
Asked by Sumit Kishore, Axis Capital
Management provided specific numbers for provisions.
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Question
For the nine-month FY 2026 and nine-month FY 2025 period, could you please quantify what is the extent of nonlinear provision in the other expenses?
Manoj Jain, Chairman and Managing Director
Other expenses for the nine months has increased from INR 11.58 to INR 12.80, okay? In that, major reason is provision towards doubtful debts, which is around INR 110 crore is the increase.
Quantitative claims vs filed numbers
| Claim | Management said | Filing | Verdict |
|---|---|---|---|
| Sales growth 19% in first nine months | 19% | 19% | Matches filing |
| EBITDA margin 27% guidance maintained | 27% | 30% | Understated vs filing |
| Revenue growth guidance >15% for FY26 | 15% | 19% | Understated vs filing |
Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.