Shares of Bharat Dynamics slipped in early trade on April 5 after the company recorded an on-year decline in its revenue for the financial year 2022-2023.
The company clocked in provisional revenue of Rs 2,458 crore for FY23, reflecting a 12.8 percent decrease as compared to FY22’s Rs 2,817.2 crore.
A brokerage firm, ICICIdirect said in a note that the decline in revenue was below their expectations as even the management had guided for a 10-12 percent year-on-year growth in the topline for FY23.
At 11.19 am, shares of Bharat Dynamics were trading with a cut of 3.07 percent at Rs 956 on the National Stock Exchange. The stock had also slipped to an intraday low of Rs 955.60.
The aerospace and defense company attributed the shortfall in revenues to delays in receipt of imported electronic items and critical explosive materials from Original Equipment Manufacturers (OEMs), design changes in the production of the naval product, and delay in receipt of MR-SAM kits from OEM which also resulted in non-completion of production.
“However, the shortfall in revenues is expected to be recovered in the current financial year,” the company wrote in an exchange filing.
ICICIdirect also highlighted that the company’s order backlog stands at Rs 24,021 crore as of March end.