>BHEL_FG(FirstGlobal)

Bharat Heavy Electricals Ltd. (BHEL.IN/BHEL.BO) recorded a robust revenue growth in Q2 FY09 and continued to exhibit a strong order book position, though it faltered on the margins front. Total sales grew 30.6% Y-o-Y to Rs.57.98 bn with the Power segment contributing Rs.44.08 bn (up 33.4%Y-o-Y), while the Industry segment contributed Rs.15 bn (up 20.4% Y-o-Y). However the EBIDTA margin for the quarter declined 420 basis points Y-o-Y to 13.3%, due to an increase of 500 bps Y-o-Y in material costs, as a percentage of sales, to 59.54%. Total provision for wage revisions stood at Rs.19.07 bn for the period January 1, 2007 to March 31, 2009 and the overall amount provided up to
March 31, 2008, was Rs.5940 mn. Out of the balance Rs.13.13 bn to be provided in 2008-09, Rs.5.47 bn was provided in the first two quarters, while remaining Rs 7.66 bn will be provided in H2 FY09. The proforma PAT improved by 18.1% Y-o-Y to Rs.6.16 bn in Q2 FY09, as against an EBIDTA growth of 2.2% Y-o-Y, driven by an increase of 31.6% Y-o-Y in Other income to Rs.3.07 bn. Read full here BHEL_FG