Bharat Dynamics expects indigenisation of all current products in three years

Defence Minister Rajnath Singh approved a fresh list of 780 components and sub-systems last month that will only be procured from the domestic industry. The defence ministry has set timelines for a staggered import ban from December 2023 to December 2028 as the government wants to reduce dependence on imported military platforms and support domestic defence manufacturing.

Mishra also mentioned that there are no plans of divestment of the company as of now and that he has not heard anything on these lines from the government.

"Any future divestment plan will depend on government policy," he said. As per its disinvestment policy, the government will look to sell a minority stake without transfer of management control for priority sectors like defence PSUs. As of the June quarter, the government held a 75 percent stake in Bharat Dynamics.

Bharat Dynamics manufactures surface-to-air missiles, air-to-air missiles, anti-tank guided missiles, underwater weapons, and other equipment. It received orders worth Rs 5,198.1 crore in FY22.

The company currently has orders worth Rs 12,000 crore, which must be completed over the next four to five years. It also expects to have a total order value worth Rs 20,000 crore by the end of this year or the beginning of the next. He also expressed confidence in securing revenue worth Rs 3,200 crore to Rs 3,500 crore in the current financial year.

Mishra is hopeful of revenue increasing "drastically" starting FY23 as the order book increases and the company receives a few export orders. "We are talking to various foreign customers, and by this year or next year, we will get some good export orders," the export orders need to be completed in a short duration time.

Bharat Dynamics' Akash surface-to-air missile system can engage multiple targets simultaneously. It can target helicopters, fighter aircraft, and unmanned aerial vehicles. The company expects to earn Rs 700 crore to Rs 1,000 crore for every order of the Akash Weapons System.

"Next year, we will start getting the orders, and generally, it takes 18-24 months to complete one order for Akash Weapons System," Mishra said.

Shares of Bharat Dynamics are down 5.3 percent to Rs 862.95. The stock has more than doubled this year, gaining over 120 percent.