BHEL Q2 results preview: revenue growth likely, will this PSU return to black in Q2?

BHEL Q2 results preview: State-run capital goods major Bharat Heavy Electricals (BHEL) is set to announce its quarterly earnings for the quarter and half year ended on September 30, 2025 on Wednesday, October 29, 2025. The company informed about the same through a regulatory filing. In a nutshell, analysts tracking the stock are expecting it to return to black.

"A meeting of the board of directors of the company will be held on Wednesday, October 29, 2025, interalia, to approve the unaudited financial results of BHEL for and upto the quarter ended September 30, 2025," said the company in an exchange filing with the bourses. However, the PSU player is unlikely to announce a dividend.

BHEL is expected to deliver a healthy growth in revenue on both year-on-year (YoY) and quarter-on-quarter (QoQ) basis, while in terms of bottom line, some analysts are expecting it to turn profitable on a sequential basis and nearly double on a yearly basis. Growth is supported by improved execution and operating leverage, though legacy projects may still weigh on margins in the short term.

Nuvama Institutional Equities is expecting BHEL to report a revenue of Rs 8,483 crore, up 29 per cent YoY and 55 per cent QoQ to in the given quarter. Ebita is seen at Rs 381.7 crore, up 39 per cent YoY for the quarter. The company is seen returning to black sequentially, reporting a net profit of Rs 207.1 crore, up 114 per cent YoY.

"We expect 2/3Q to see the lingering impact of legacy low margin projects (Patratu and Ennore) which may keep results/margins depressed. However, Q4FY26 onwards, we expect the newer projects to enter the sale recognition phase which will see a turnaround by FY27," it added with a 'buy' rating and a target price of Rs 335 on the stock.

JM Financial is expecting BHEL to report a revenue of Rs 7,242.5 crore, up 10 per cent YoY and 32 per cent QoQ. Ebitda is seen at Rs 360.1 crore, up 31 per cent YoY with Ebitda margins coming in at 5 per cent for the quarter. It pencils net profit at Rs 215.2 crore, up 103 per cent YoY.

"BHEL’s net revenue could increase with pick-up in execution of robust power order book and Improvement in Ebitda due to operating leverage & better orders’ mix Equipment manufacturers such as BHEL are expected to post healthy results driven by higher dispatches and operating leverage," JM added. It has a 'buy' rating on the stock with a target price of Rs 278 on it.

Antique Stock Broking is expecting BHEL to clock a revenue of Rs 7,571.7 crore, up 15 per cent YoY and 38 per cent QoQ. Ebitda is seen at Rs 340.7 crore, up 24 per cent YoY. On a bottomline basis, the company reported a net profit of Rs 130.4 crore, up 35 per cent YoY for the reported quarter.

"In 2QFY26, we expect revenue for our coverage universe to register 13% YoY growth supported by strong order backlog that the companies have developed over the last few years," Antique added, keeping BHEL as its top pick from the sector with a target price of Rs 302 and a 'buy' tag.

Shares of BHEL settled on a flat note, near its close at Rs 237.35 on Tuesday, where it rose nearly a per cent. The total market capitalization of the state-run capital goods major stood above Rs 82,500 crore mark. The stock is down 13 per cent from its 52-week high at Rs 272, hit nearly four months ago. It has gained 35 per cent from its 52-week low at Rs 176, hit seven-months ago.