NTPC drops plan to exit BHEL JV, govt forms panel to revive it

After securing the board approval last year to exit NTPC BHEL Power Projects Pvt Ltd, the state-owned power generator has now shelved its plan to turn its back on the loss-making joint venture company. The development comes in the wake of the ministry of power setting up a committee to explore ways to infuse life into the struggling equipment maker for power plants. Bharat Heavy Electricals Chairman and Managing Director Atul Sobti heads the panel. “We are no more pursuing that plan of shelving the JV. If need be, we will put more equity into it,” an NTPC source said. The two companies have Rs. 50 crores each as equity invested in the joint venture. “NTPC wanted BHEL to acquire its 50% stake in the JV, acquire all the assets and liabilities and absorb all the employees,” another source familiar with the development had told Moneycontrol recently, adding the company had little revenue visibility after 6 months and hence would need a fresh injection of new orders or a new blueprint to sustain itself. ref: http://www.moneycontrol.com/news/business/ntpc-drops-plan-to-exit-bhel-jv-govt-forms-panel-to-revive-it_8546061.html

Bhel looks to pivot from power sector to transportation, electric vehicles

In an attempt to keep pace with the fast-changing electricity sector, state-run Bharat Heavy Electricals Ltd (Bhel) is positioning itself as a transportation solutions provider, particularly in crowded urban settings. India’s largest power generation equipment maker wants to become a turn-key metro rail end-to-end solutions provider and also manufacture electric vehicles such as buses, cars, two-wheelers and boats. While Bhel has signed an agreement with Ashok Leyland Ltd and Tata Motors Ltd for developing a propulsion system for buses, the public sector unit is also seeking technical collaboration to manufacture metro rail locomotives and has initiated separate talks with Hitachi Transportation Systems, Mitsubishi Heavy Industries and Škoda Transportation. ref : http://www.livemint.com/Industry/JM0aTcCUuIG80iRHrymIEP/Bhel-looks-to-pivot-from-power-sector-to-transportation-ele.html

BHEL Q3 profit seen at Rs 31 cr on EBITDA, revenue may grow 17%

BHEL is expected to turn profitable in quarter ended December 2016, with net income at Rs 31 crore against loss of Rs 1,100 crore in year-ago quarter. Revenue during the quarter is seen rising 16.8 percent to Rs 6,220 crore compared with Rs 5,325 crore in same quarter last year, according to average of estimates of analysts polled by CNBC-TV18. Operating profit is likely to support bottomline. EBITDA (earnings before interest, tax, depreciation and amortisation) is expected to be at Rs 72 crore against loss of Rs 1,600 crore and margin may be at 1.2 percent on yearly basis. Analysts expect fixed cost recovery to be higher. Key factors to watch out for would be provision write back, slow moving orders, order inflow and margin performance. ref: http://www.moneycontrol.com/news/result-poll/bhel-q3-profit-seen-at-rs-31-crebitda-revenue-may-grow-17_8435501.html

BHEL bags 3.6 MW solar rooftop order from Surat Municipal Corp

BHEL today said that it has secured order for the installation of Solar PhotoVoltaic (PV) rooftop systems totalling 3.6 MW from Surat Municipal Corporation. While all the 10 identified areas of installation would be within the municipal limits of the city; 1MW energy will be required for Surat Smart City, BHEL said in a statement today. According to the statement, this is the single largest order for a Rooftop PV system won by BHEL and will be an important step in establishing the Maharatna company as one of the leaders in Rooftop PV system segment also. BHEL manufactures solar cells and modules at its Electronics Division in Bengaluru, while space-grade solar panels using high efficiency cells and space-grade Battery panels are manufactured at its Electronic Systems Division, also in Bengaluru. The company has enhanced its annual manufacturing capacity of Solar Cells to 105 MW and Solar Modules to 226 MW. Its new state-of-the-art 200 MW Solar PV Module Manufacturing Line and upgraded 105 MW Solar PV Cell Manufacturing Line were recently inaugurated by Minister for Heavy Industries & Public Enterprises Anant Geete, at the company’s manufacturing plants in Bengaluru. ref: http://www.financialexpress.com/industry/bhel-bags-3-6-mw-solar-rooftop-order-from-surat-municipal-corp/539579/