Jul 31, 2024 01:53 PM IST

State-owned Bharat Heavy Electricals (BHEL) reported a slightly wider first-quarter loss on Wednesday, as higher expenses overshadowed demand growth for power equipment, sending its shares 1.2% lower.

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The power and industrial equipment manufacturer reported a net loss of 2.13 billion rupees ($25.44 million) for the quarter ended June 30 from a net loss of 2.12 billion rupees a year ago.

The company restated figures from the previous year to reflect adjusted expenses of 2.33 billion rupees, which included deferred tax and provisions and write-offs, according to an exchange filing.

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BHEL’s expenses, which have hurt its earnings in the past four quarters, increased 9% to 58.75 billion rupees, driven by a 9.4% rise in the cost of materials and services.

Revenue from operations rose nearly 10% to 54.85 billion rupees in the quarter, owing to a 4% rise in revenue from the power segment.

India’s electricity generation hit record highs in the April-June quarter – peak summer in the country – as demand surged, boosting orders for power equipment.

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Revenue from its industrials business, which is its second-biggest segment, reported a 30% surge during the period.

BHEL’s rival firms, Tata Power and Siemens will report quarterly results next month.