BENGALURU (Reuters) – India’s BEML reported a narrower first-quarter loss on Monday, helped by increasing demand for its heavy machinery and equipment.
The state-owned company reported a consolidated loss of 704.7 million rupees ($8.4 million) in the quarter ended June 30, compared to 750.1 million rupees a year earlier.
India’s manufacturing sector saw a resurgence in the April-June quarter as output increased on robust demand, helping companies such as BEML, which operates in sectors including defence, aerospace, and rail.
The company’s revenue from operations rose 9.9% to 6.34 billion rupees. This is its fifth consecutive rise in quarterly revenue.
It executed orders worth 6.18 billion rupees during the quarter, compared to 5.62 billion rupees a year ago.
Total expenses, however, rose 8.71%, while cost of materials consumed, which makes up almost half of the overall expenses, jumped 37.46%.
Rival railway coach-maker Jupiter Wagons reported a 46% rise in its June-quarter profit.
BEML’s stock was up 39.4% in the first quarter and has gained nearly 48% so far in 2024.
($1 = 84.1430 Indian rupees)
(Reporting by Meenakshi Maidas and Yagnoseni Das in Bengaluru; Editing by Sonia Cheema)
