Bharat Dynamics Limited · Research view

Bharat Dynamics Limited

NSE: BDLBSE: 541143ISIN INE171Z01026Face value ₹5standalone

₹1,088

−1.88% · 2026-10-01 · 52-wk ₹1,088–₹1,614

Financials to FY2026 · 8 years of history · prices to 2026-10-01consolidated standalone

Section 02 · Synthesis

What stands out?

The strongest observations the engine found, ranked. Every line is generated from the filed numbers by a fixed rule — no opinion, no estimate.

StrengthConcernWatchContext

WatchTalking point

Premium valuation, soft growth

The P/E of 76.60× is above the aerospace and defense median (45.60×) while profit declined 23.5% last year.

Importance 62 / 95 · valuation

WatchTalking point

Cash conversion trending down

Cash conversion (CFO ÷ profit) has averaged 0.80× over the last 3 profit-making years versus 3.75× before that.

Importance 60 / 95 · cash quality

Concern

Less profitable than peers

ROE of 10.2% is below the aerospace and defense median of 24.0%.

Importance 53 / 95 · profitability

Section 03 · The company

Who is this company?

Classified by the exchange under Industrials › Capital Goods › Aerospace & Defense › Aerospace & Defense.

Market cap: ₹39,891 cr
FY2026 revenue: ₹2,442 cr
FY2026 net profit: ₹420 cr
Net worth: ₹4,241 cr
Total debt: ₹0 crnet cash
EPS (basic): ₹11.47
Listed: NSE · BSE
Reporting: Ind-ASApr–Mar

Peer set used on this page: 3 aerospace & defense.

Section 04 · Business performance

Is the business growing?

Revenue & net profit — FY19 to FY26₹ crore · consolidated

RevenueNet profit

Concern

Revenue fell 27.0% year on year (FY2025 → FY2026).

Rule REVENUE_DECLINED_YOY

Revenue growth per year: −3.2%over 7 years
Revenue growth: −27.0%vs last year
Net profit growth: −23.5%vs last year
Change in net profit since FY19: −1%

Net profit fell 23.5% year on year (FY2025 → FY2026).

Section 05 · Recent activity

What changed recently?

Quarterly results, the trailing-twelve-months snapshot, and verified corporate actions — kept separate from each other and from the annual story above. Every figure traces to a filed number; nothing here is external news or commentary.

Strength

Q1 FY27 revenue was ₹572 cr, up 130.8% from ₹248 cr in Q1 FY26 a year earlier.

Rule QTR_REVENUE_GROWTH_YOY

Strength

Q1 FY27 net profit was ₹119 cr, up 547.4% from ₹18 cr a year earlier.

Rule QTR_PROFIT_GROWTH_YOY

Strength

Q1 FY27 net profit grew 547.4% vs the same quarter last year, reversing the decline seen in the two preceding quarters (−50.4% and −58.5%).

Rule QTR_TREND_REVERSAL

A. Quarterly results

Latest quarters — Q2 '25 to Q1 '27₹ crore · standalone

RevenueNet profit

Quarter	Revenue	YoY	Net profit	YoY	Net margin
Q2 FY25	545	—	123	—	22.5%
Q3 FY25	832	+38.3%	147	+9.0%	17.7%
Q4 FY25	1,777	+108.0%	273	−5.5%	15.4%
Q1 FY26	248	+29.7%	18	+154.3%	7.4%
Q2 FY26	1,147	+110.6%	216	+76.2%	18.8%
Q3 FY26	567	−31.9%	73	−50.4%	12.9%
Q4 FY26	480	−73.0%	113	−58.5%	23.6%
Q1 FY27	572	+130.8%	119	+547.4%	20.8%

B. TTM snapshot

Trailing twelve months to 30 Jun 2026 · sum of the last 4 contiguous quarters

Revenue: ₹2,766 crTTM
EBITDA: ₹792 crTTM
EBIT: ₹714 crTTM
PBT: ₹710 crTTM
Net profit: ₹521 crTTM

C. Corporate actions

21 Sept 2026DividendFinal Dividend - Rs. - 0.4000 — ₹0.40/share

9 Feb 2026DividendInterim Dividend - Rs. - 4.5000 — ₹4.50/share

19 Sept 2025DividendFinal Dividend - Rs. - 0.6500 — ₹0.65/share

14 Feb 2025DividendInterim Dividend - Rs. - 4.0000 — ₹4.00/share

23 Sept 2024DividendFinal Dividend - Rs. - 0.8500 — ₹0.85/share

24 May 2024Stock splitStock Split From Rs.10/- to Rs.5/- — 10:5

2 Apr 2024DividendInterim Dividend - Rs. - 8.8500 — ₹8.85/share

20 Sept 2023DividendFinal Dividend - Rs. - 1.2000 — ₹1.20/share

20 Feb 2023DividendInterim Dividend - Rs. - 8.1500 — ₹8.15/share

16 Sept 2022DividendFinal Dividend - Rs. - 1.0000 — ₹1.00/share

23 Feb 2022DividendInterim Dividend - Rs. - 7.3000 — ₹7.30/share

17 Sept 2021DividendFinal Dividend - Rs. - 0.6500 — ₹0.65/share

18 Mar 2021DividendInterim Dividend - Rs. - 6.7000 — ₹6.70/share

18 Sept 2020DividendFinal Dividend - Rs. - 2.5500 — ₹2.55/share

24 Feb 2020DividendInterim Dividend - Rs. - 6.2500 — ₹6.25/share

19 Sept 2019DividendFinal Dividend - Rs. - 1.6700 — ₹1.67/share

26 Mar 2019DividendInterim Dividend - Rs. - 5.2500 — ₹5.25/share

18 Sept 2018DividendFinal Dividend - Rs. - 7.2900 — ₹7.29/share

Section 06 · Business performance

Is it becoming more profitable?

Margins — FY19 to FY26% of revenue · consolidated

EBITDA marginNet margin

Concern

ROE of 10.2% is below the aerospace and defense median of 24.0%.

Rule ROE_BELOW_PEER_MEDIAN

EBITDA margin now: 26.5%
8-year range: 22.6–37.9%
ROE FY2026: 10.2%
ROCE FY2026: 13.8%

ROE declined from 14.4% to 10.2% year on year.

EBITDA margin improved from 24.6% to 26.5% of revenue.

EBITDA margin has ranged from 22.6% to 37.9% over 7 years and sits at 26.5% now.

Section 07 · Financial health

Is financial health improving?

Net worth — FY19 to FY26₹ crore · consolidated

Net worth (shareholders' funds)

Watch

Cash conversion (CFO ÷ profit) has averaged 0.80× over the last 3 profit-making years versus 3.75× before that.

Rule CASH_CONVERSION_DETERIORATING

Operating cash flow vs net profit₹ crore · FY21–FY26

Operating cash flowNet profit

Total debt: ₹0 crnet cash
Operating cash flow ÷ net profit: 1.44×FY2026
Free cash flow: ₹387 cr
Current ratio: 2.01×

Free cash flow has been positive in 6 of the last 6 years.

Section 08 · Relative position

How does it compare with peers?

Ranked against 3 aerospace & defense (FY2026, consolidated).

Revenue growth

BDL · 3rd of 3 · set median 6.8%

EBITDA margin

BDL · 3rd of 3 · set median 31.2%

Return on equity

BDL · 3rd of 3 · set median 24.0%

P/E ratio

BDL · 3rd of 3 · set median 45.6×

Watch

The P/E of 76.60× is above the aerospace and defense median (45.60×) while profit declined 23.5% last year.

Rule PRICED_FOR_GROWTH

P / E: 76.6×TTM to Jun 26
P / B: 9.4×latest book
P / S: 14.4×TTM sales
Earnings yield: 1.3%TTM to Jun 26

On the trailing twelve months. Last full year: P/E 94.9× · P/S 13.9× · ROE 10.2%. TTM and full-year profit and EBITDA differ by more than 15% — a one-off in a recent quarter is moving the trailing figure; weigh it against the full year.

Section 09 · The stock

How has the stock performed?

Adjusted close — 2020-01 to 2026-10₹ per share · split / bonus adjusted

Context

Over 5 years the stock returned 41.9% a year while profit compounded at 10.3% a year — but FY2021 profit (₹258) was well below the through-cycle level (~₹461), so this rate is inflated by the recovery from a low base.

Rule STOCK_RAN_AHEAD · recovery

Business vs stock — 5-year compound annual rate

1-year return: −29.4%
3-year return: +111.0%
5-year return: +476.3%
From 52-wk high: −32.6%

Section 10 · Technical data

What does the technical data say?

Price-action indicators as of 2026-10-01. Secondary to the fundamentals above — included for timing context, not as a signal.

vs 50-day avg: Below₹1,252
vs 200-day avg: Below₹1,318
RSI (14): 27.0oversold
MACD histogram: -5.0
From 52-wk high: −32.6%
From 52-wk low: 0.0%
30-day volatility: 25.2%ann.
6-month return: −0.8%

RSI (14) · 0–10027.0 — oversold

Section 11 · Open questions

What should I investigate further?

Observations the engine tagged watch or deteriorating — prompts for your own research, not conclusions.

Watch
Premium valuation, soft growth
The P/E of 76.60× is above the aerospace and defense median (45.60×) while profit declined 23.5% last year.
PRICED_FOR_GROWTH · conviction 62
Watch
Cash conversion trending down
Cash conversion (CFO ÷ profit) has averaged 0.80× over the last 3 profit-making years versus 3.75× before that.
CASH_CONVERSION_DETERIORATING · conviction 60
Concern
Less profitable than peers
ROE of 10.2% is below the aerospace and defense median of 24.0%.
ROE_BELOW_PEER_MEDIAN · conviction 53
Concern
Revenue fell
Revenue fell 27.0% year on year (FY2025 → FY2026).
REVENUE_DECLINED_YOY · conviction 47
Concern
Profit fell
Net profit fell 23.5% year on year (FY2025 → FY2026).
PROFIT_DECLINED_YOY · conviction 46
Concern
Returns declining
ROE declined from 14.4% to 10.2% year on year.
ROE_DETERIORATED_YOY · conviction 44

Cash-flow-statement facts are unavailable for FY2019, FY2020 — those filings predate SEBI's Cash Flow Statement disclosure requirement. All other loaded years carry full P&L, balance sheet and cash-flow data.

Section 12 · Reference

The numbers

The full statements, kept deliberately secondary. Every figure traces to a BSE Integrated Filing (inline XBRL); ratios are recomputed from the normalised facts.

Income & balance sheet — ₹ crore, consolidated
Metric	FY19	FY20	FY21	FY22	FY23	FY24	FY25	FY26
Revenue	3,069	3,095	1,914	2,817	2,489	2,369	3,345	2,442
Total income	3,205	3,211	2,008	2,929	2,645	2,731	3,695	2,866
EBITDA	758	844	439	837	564	898	823	647
Profit before tax	671	742	341	710	482	828	749	568
Net profit	423	535	258	500	352	613	550	420
EPS (₹)	23.1	29.2	14.1	27.3	19.2	16.7	15.0	11.5
Net worth	2,269	2,607	2,685	3,031	3,211	3,637	4,009	4,241
Total debt	2	2	0	0	0	0	0	0
Operating cash flow	—	—	1,068	530	2,130	412	167	604
Free cash flow	—	—	1,030	429	2,022	331	59	387

Key ratios — consolidated
Ratio	FY19	FY20	FY21	FY22	FY23	FY24	FY25	FY26
Growth
Revenue growth YoY	—	0.8	-38.2	47.2	-11.6	-4.8	41.2	-27.0
Profit growth YoY	—	26.6	-51.8	93.9	-29.6	74.0	-10.3	-23.5
Profitability
EBITDA margin %	24.7	27.3	23.0	29.7	22.6	37.9	24.6	26.5
Net margin %	13.2	16.7	12.8	17.1	13.3	22.4	14.9	14.7
Return on equity %	18.6	21.9	9.7	17.5	11.3	17.9	14.4	10.2
Return on capital %	29.8	30.6	13.0	26.1	15.6	24.3	19.7	13.8
Leverage & cash
Debt to equity	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Cash flow ÷ profit	—	—	4.14	1.06	6.05	0.67	0.30	1.44
Current ratio	1.48	1.98	1.94	2.14	3.45	3.07	2.38	2.01