BEML Wins ₹590 Cr Defence Order From Trawl Assemblies; Stock Surged 8%

BEML Limited has secured a defence order worth about ₹590 crore from the Ministry of Defence for the supply of trawl assemblies, used in mine-clearing operations on battle tanks.

The contract, awarded in the normal course of business, will support deployment on the Indian Army’s T-72 and T-90 tanks. While the company has not disclosed an execution timeline, the order adds to its growing defence portfolio.

Following the new order win, BEML Limited shares rose up to 8% today, hitting an intraday high of ₹1,910. By 10:09 AM, the stock traded at ₹1,824.80, up 3.22% on the Bombay Stock Exchange (BSE).

What Does This ₹590 Crore Defence Order Involve?

The order relates to the supply of specialised trawl assemblies.

These are tank-mounted systems designed to clear landmines and create safe pathways for armoured vehicles during operations. They are typically deployed on main battle tanks such as the T-72 and T-90.

The contract comes directly from the Ministry of Defence and forms part of routine procurement. It also comes after an earlier contract in December 2024, when the company received an order worth about ₹110 crore for engine supplies.

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How Does This Fit Into BEML’s Defence And Growth Strategy?

The order strengthens BEML’s position in the defence sector.

The company also has a presence in railways, mining and construction equipment. Even so, defence continues to remain an important focus area, especially with the government pushing for higher domestic sourcing.

At the same time, BEML is looking beyond the domestic market. The company’s international order book has crossed $100 million, and it is aiming to double this by FY27.

A recent order from West Asia for heavy earth-moving equipment is expected to support this expansion. The project includes design modifications and a long-term maintenance component.

In the December 2025 quarter, the company reported revenue of ₹1,087 crore, up 23.4% from a year ago.

What Should Investors Watch Going Ahead?

The company has identified around ₹40,000 crore worth of opportunities across defence, rail, mining and international business for FY27. Management expects to convert roughly half of this pipeline into orders.

Exports are also expected to play a bigger role. The contribution is projected at 6–7% of total revenue in FY27, with a target to reach about 10% over time.

Over the past one month, the stock is up around 21%. Over a three-year period, it has delivered gains of nearly 200%, reflecting sustained investor interest in the company.

At current levels, BEML has a market capitalisation of about ₹14,729 crore. The stock remains below its 52-week high of ₹2,437.40. The stock is trading at a price-to-earnings multiple of 59.27 and a price-to-sales ratio of 3.34.

On the technical side, the 14-day RSI is at 65.2, moving closer to the upper band. The stock is trading above most of its short- and medium-term moving averages. At the same time, it remains below the 150-day and 200-day averages, which may act as resistance levels.

Sources:

ET Manufacturing

CNBC TV18

The Economic Times