Bharat Dynamics shares hit 52-week high on inking agreement with Indian Army

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Bharat Dynamics has signed a contract for the manufacture and supply of Konkurs - M AntiTank Guided Missiles
On February 14, the board of directors will meet to review and approve unaudited financial statements
The board will also consider declaring an interim dividend for the financial year 2021-22

Written By:Yash

Updated: February 02 2022 08:41:50 PM ET

Bharat Dynamics’ share price hit a 52-week high of Rs 535.70, up 10%, in early trade on February 3 after the company inked a Rs 3,131.82 crore deal with the Indian Army.

Bharat Dynamics was trading at Rs 523.90 on the BSE at 09:29 a.m., up Rs 36.50, or 7.49%.

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According to a press release from Bharat Dynamics, the company has signed a contract for the manufacture and supply of Konkurs – M AntiTank Guided Missiles.

With the deal, which will be completed in three years, the company’s order book currently stands at Rs 11,400 crore (net).

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“Konkurs – M is being manufactured by Bharat Dynamics under a licence agreement with a Russian OEM (original equipment manufacturer). The missile has been indigenised up to the maximum extent. Bharat Dynamics is also offering Konkurs- M missiles for export to friendly foreign countries,” said Bharat Dynamics chairman and managing director Siddharth Mishra.

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On February 14, the board of directors will meet to review and approve unaudited financial statements for the quarter and nine months ended December 31.

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The board will also consider declaring an interim dividend for the financial year 2021-22. If the board declares an interim dividend, the record date for payment will be February 24.

BDL has collaborated with DRDO and foreign OEMs to manufacture and deliver numerous missiles and related equipment to the Indian armed forces.

With the same run rate, BDL generated revenue of Rs 1,914 crore in FY21. There is four-year revenue visibility. SAM (Akash) and ATGM are two platforms that have previously been approved by DAC for order-book accretion (Astra). Furthermore, BDL is the maker of Agni V (ballistic and nuclear) in India, according to ICICI Securities.