BHEL pays Final Dividend of 62.5 per cent on Post-Bonus Equity; Total payout for fiscal 2007-08 touches all-time high of over Rs.7,460 Million

Bharat Heavy Electricals Limited (BHEL) has paid a final equity dividend of 62.5 per cent on the enhanced equity capital post-bonus, for fiscal 2007-08, maintaining its track record of paying dividends uninterruptedly for the last 32 years. With this, a total dividend of 152.5 per cent has been paid for the year, including an interim dividend of 90 per cent paid earlier.

A cheque of Rs.2,070 Million for the payment of the final dividend for the year, on the equity (67.72 per cent) held by the Government of India, was presented here today to Mr. Sontosh Mohan Dev, Honble Union Minister for Heavy Industries and Public Enterprises by Mr. K Ravi Kumar, Chairman and Managing Director, BHEL. For the year 2007-08, BHEL has made a total dividend payout of around Rs.5,060 Million to the Government of India.

Senior officials of the Department of Heavy Industries and Public Enterprises and BHEL were also present on this occasion.

BHEL has maintained its track record of earning profits and paying dividends uninterruptedly for over three decades without a break. Notably, in 2007-08, BHEL further built on the growth momentum achieved in the year before, completing yet another successful year, which saw the company reiterate its commitment to the countrys power development programme and other infrastructure sectors.

During the year, BHEL notched its highest-ever turnover of Rs.214,010 Million, crossing the Rs.200,000 Million mark for the first time, while Net Profit (PAT) surged nearly 19 per cent over the previous year at Rs.28,590 Million. BHEL also secured the highest-ever orders worth Rs.502,700 Million in a single year, despite operating under intense competitive pressure in domestic and international markets. With an order book position of over Rs.850,000 Million - the highest-ever both in physical as well as financial terms, at the close of the financial year, the company expects to achieve robust growth in 2008-09 and beyond.

BHEL has been committed to the nation's power development programme and has reaffirmed its commitment to the Indian Power Sector by equipping itself for the future, by way of technology, facilities and trained manpower to meet the country's power forecast for the 11th Plan and beyond. Spurred by the strong and consistent growth achieved in the last few years, BHEL has set its sights on becoming a Rs.450,000 Million company by 2011-12. The company is implementing a Strategic Plan 2012 that will enable it to grow at a Compounded Annual Growth Rate of 20 per cent.

Expansion of activities in the market segments, which BHEL operates in, is the core element that will drive its growth strategy in future to ensure sustainable profitable growth over the next five years. The growth planks for the company will be driven by Capacity and Capability enhancement that will leverage BHEL's efforts in its core area of power supported by industry, transportation, transmission, exports and spares and services businesses.