BEML Share Price: Miniratna Defence PSU In Green After Pact With DRDO; Dividend Announcement

BEML Share Price: BEML Limited stock opened in green on Tuesday, June 10, a day after the defence Miniratna announced an agreement with Defence Research and Development Organisation's (DRDO) Arm. The Miniratna Defence Public Sector Undertaking (PSU) recently announced a dividend for its shareholders.

BEML Limited announced on Monday that it had entered into three licensing agreements with the DRDO's Vehicles Research and Development Establishment (VRDE). The pact with DRDO's premier laboratory for the Transfer of Technology would let BEML manufacture supporting products and items for the Indian Army's Armoured Corps.

BEML shares ended 0.67% lower at Rs 4364 per share on BSE on Monday. The company scrip opened higher at Rs 4366.45 apiece. BEML shares were trading 1% higher at Rs 4407.95 per share on BSE at 9:20 am.

BEML Agreement With DRDO includes the indigenous development and production of the Unit Maintenance Vehicle (UMV) and Unit Repair Vehicle (URV) for MBT Arjun, and the Full Trailer for 70T Tank Transporter equipped with an Advanced Hydraulic Suspension System.

This collaboration marks a significant milestone in enhancing the Indian Army's operational capabilities through fully indigenous, next-generation solutions aligned with the Government of India's "Aatmanirbhar Bharat" vision to achieve self-reliance in critical defence technologies, BEML said in a release.

BEML Dividend

The company, on Friday, had announced that its board of directors had recommended a final dividend of Rs 1.2 per share with a face value of Rs 10 each.

"We wish to inform that the Board of Directors of the Company in its 413th meeting held on 06.06.2025, inter-alia, has recommended Final Dividend of Rs. 1.20/- per equity share of Rs.10/- each (i.e. 12% of paid up share capital) for the Financial year 2024-25," said the company in its BSE exchange filing on Friday, June 6.

BEML Q4 Result Review

The mining equipment manufacturer BEML, last month, announced its fourth quarter result for the financial year 2024-25. The company reported an 11.9% increase in its consolidated net profit, which remained at Rs 287.55 crore for the quarter ending in March 31. The company had posted a profit of Rs 256.80 crore in the year-ago period.

The company witnessed a a sharo surge in the increase of its income in teh January March period to Rs 1,656.36 crore from Rs 1,518.25 crore in the year-ago period, the filing said.

Formerly knownas Bharat Earth Movers Limited, BEML Limited is a miniratna public sector undertaking which has a specialisation in the manufacturing of heavy equipment for mining, construction, defense, and rail/metro sectors.

Calling BEML Limited a strong play in the mobility capex planned by the railways and metro, Antique Stock Brokerage noted that the company is likely to get the benefit from its manufacturing tie up with Vande Bharat sleeper train project.

"BEML expects its defence division to do well given multiple large-ticket orders expected to be finalized in the near term. We have baked in 20% revenue CAGR over FY25-27E while earnings are expected to report 44% CAGR over FY25-27E. We continue to retain BUY with an unchanged target price of INR 4,115, valuing the company at 28x its FY27E EPS," noted Antique Brokerage in its report.

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