BEML gains on bagging Rs 867-cr contract for high-speed rail

BEML jumped 4.53% to Rs 3,887.95 after the company received a contract worth Rs 866.87 from Integral Coach Factory (ICF), Chennai for design, manufacturing, and commissioning of two high-speed trainsets, each comprising eight cars.

The trainsets will be built at BEML's Bengaluru rail coach complex and are scheduled for delivery by the end of 2026. Featuring a fully air-conditioned, chair car configuration, the trains will offer modern passenger amenities such as reclining and rotatable seats, special provisions for passengers with restricted mobility, and onboard infotainment systems.

The price of each car is Rs 27.86 crore and the total contract value is Rs 866.87 crore which includes design cost, one-time development cost, non-recurring charges, onetime cost towards jigs, fixtures, tooling and testing facilities, which will be utilised for all future high-speed projects in India.

The company stated that this project will see the first indigenously designed and manufactured trainsets with a test speed of 280 kmph.

BEML is a multi-technology schedule 'A' company under the Ministry of Defence. It operates under three major business verticals viz., defence & aerospace, mining & construction, and rail & metro. As on 30 June 2024, the Government of India held 54.03% stake in BEML.

The company's consolidated net loss narrowed to Rs 70.47 crore in Q1 FY25 as compared with Rs 75.01 crore reported in Q1 FY24. Revenue from operations grew by 9.91% to Rs 634.08 crore in Q1 FY25 as against Rs 576.91 crore posted in corresponding quarter last year.

Powered by Capital Market - Live News