Navratna defence PSU Bharat Electronics Ltd (BEL) has bagged a significant contract worth ₹593.22 crore (excluding taxes) from the Indian Air Force (IAF) for the comprehensive maintenance of the Akash missile system. The system was originally supplied by BEL, reinforcing its pivotal role in India’s defence infrastructure and after-sales support.

Strong start to FY2025-26 for BEL

The contract adds ₹593.22 crore to BEL’s order book at the start of FY2025-26, setting a strong momentum for the company. Beyond this, BEL has successfully negotiated additional orders worth approximately ₹5,000 crore, indicating a healthy project pipeline and reaffirming its leadership in the defence electronics sector.

BEL’s order and revenue growth in FY2025

On April 1, 2025, BEL announced that it had received orders worth ₹18,715 crore in financial year 2025, falling short of its projection of ₹25,000 crore. However, the company reported a provisional turnover of ₹23,000 crore, marking a 16% year-on-year (YoY) growth compared to ₹19,820 crore in FY2024. BEL had initially estimated 15% revenue growth for FY2025, achieving a slightly higher-than-expected result.

BEL share price target and performance

Shares of Bharat Electronics Ltd settled more than 3.2% lower on the NSE, closing at ₹282.44 apiece today (April 2). Intra-day, the stock dropped over 6% after the company missed its order inflow guidance for financial year 2025.

Despite the guidance miss, 25 out of the 28 analysts having coverage on Bharat Electronics have a ‘buy’ recommendation on the stock, while two of them have a ‘sell’ rating. Macquarie still has an ‘outperform’ rating on the stock with a price target of ₹350, while Kotak Institutional Equities has a ‘sell’ rating with a price target of ₹260.