National Stock Exchange of India Ltd., Exchange Plaza, Plot No. C/1,G Block, Bandra-Kurla Complex, Bandra (E) Mumbai - ⁴⁰⁰ ⁰⁵¹

No. 17565/6/SE/NSEC/SEC 251h September 2018

Dear Sir/Madam,

Sub: Presentations Made at Analysts Meet held on 251h September 2018.

In continuation to our earlier letter dated 3rd September 2018, please find enclosed herewith copy of the presentation made at Analysts Meet held on 251h September 2018. The same is also being put on Company's website as per the provisions of the SEBI (LODR) Regulations, 2015.

Thanking you,

Yours faithfully For Bharat Electronics Limited

^S Sreenivas Company Secretary

End: As stated above

To,

Established in 1954 under MoD
R&D / Technology driven Company operating in competitive Defence Electronics area
Manpower: 9726 Employees (as on 31.03.2018)

Subsidiary & JVs

BEL Optronics Devices Ltd
Night Vision Image Intensifier tubes
GE BE Pvt Ltd
Medical Electronics Parts, X-Ray Tubes
BELThales Systems Ltd
Civil ATM and select Defence Radars

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Navratna PSU Manufacturing Network

Business Segments BHARATEl£CTRON/CS

Multi product, Multi technology company – Diverse product range

Research & Development (R&D) BHARAT£l£Cr/?ON/CS

47% Engineering Manpower deployed in R&D
89% Sales Revenue from Indigenous R&D
R&D investment: Rs. 988 Crs during 2017-18
CMMi Level-5 Certification for Software development
Largest Production Partner of DRDO
Patents Application Filed 107, Patents Granted 07

Central Research Labs
(2 Centers)

Central Design Group and Product Development & Innovation Center (2 Centers)

Products & Systems development Development & Engineering Groups (20 Centers)

Blue Sky Research (Futuristic Technologies) (Radio Frequency & Microwave; Embedded Computing System; Radar Signal Processing; Communication (Software Defined Radio & Wireless); Network Centric Software; Sensor Signal Processing; Very Large Scale Integration, Smart Computing System; Networking; Sensor Data Fusion;

Core Technology Module development Groups

(Defence Software; Encryption; Radio Frequency; Microwave; Radar Signal Processing; Power Supply; Control Electronics, Embedded System; Computing Elements; Electro Optics, Communications)

CMMi : Capability Maturity Model Integration

Expansion & Modernization

600 Crores annual CAPEX

World class Manufacturing & Test facilities

Super Components Facility
Test set up for Missile System
Secured Manufacturing Facility for EVM / VVPAT
Antenna Test Range Facility
High Roof hangar for Radar & Antenna Integration
Modern Production setup for Airborne applications
Near Field Test Range and EMI/EMC Test Facilities
Two new factories planned at Devanahalli & Nagpur – land is being acquired

Expansion & Modernization

Advanced EMC Testing Facilities of size 11m x 21m x 30m which can conduct testing of Systems / Platforms weighing up to 70 Tonnes.
Near Field Antenna Test Range (NFTR) facility for calibration and testing of Radars and communication antennas
Established High level Shock Testing Facility capable of imparting mechanical shocks up to 120g level for equipment weighing up to 800 kg
Secured Manufacturing Test facility established for production of EVMs and VVPATs
State of the art Electronic Artillery Fuze manufacturing

Electro Magnetic Compatibility (EMC) Chamber for system level testing

Exports

Dedicated Business Unit & Marketing Group for Exports
Achieved USD 26 Million during 17-18
Export Initiatives:
Strategic alliances with global OEMs (Elbit, IAI, Thales, SAAB) for joint development / co-production
Focus on SE Asian Countries for Comn, Sonars and Coastal Security solutions
Established Marketing office in Vietnam and will establish more marketing offices in Myanmar, Sri Lanka, Oman, USA and Singapore by Mar 2019
Major products exported:
Coastal Surveillance System, CoMPASS, Advanced Composite Communication System, Electro Mechanical parts etc.
Major countries:
USA, UK, Russia, Italy, Myanmar, Brazil, Germany, France, Israel, Indonesia, Honduras, Malaysia, Maldives, Mauritius, Namibia, Seychelles, South Africa

Fire Control System

L70 Gun Upgrade Akash Weapon System

Weapon Locating Radar

Electronic Fuze

Schilka Upgrade

3D Tactical Control Radar

Battle Field Surveillance System

Advanced Composite Communication System

New Products Introduced in 2017-18

Ground Based Mobile Elint System
Lynx U2 for SNF and P15
Radio on the Move for QRSAM
Advanced Composite Communication System for P15B
Ship Data Network for P16A
Multi Purpose Reflex Weapon Sight
Universal Lab Test Rig for Radar Warning Receiver
Mine Field Recording System
Electronic Voting Machine Mk II
Voter Verifiable Paper Audit Trail Mk II

Order Book

Major Orders Received during 2017-18

Voter Verifiable Paper Audit Trail & Electronic Voting Machine
Commander Thermal Imager Sights for T72 & BMP
Hull Mounted Sonar for P71
Low Intensity Conflict EW System
Surveillance Radar Element
Strategic Communication System

Major Orders Likely to be Received during the year

Akash Missile System
BMP Upgrade
Commander Thermal Imager Sights for T90
Samyukta Upgrade
Instrumented EW Range
Coastal Surveillance System

Orders Received in current year is Rs. 14000 Cr, including LRSAM Rs. 9236 Cr

Scenario 2018-19 & Make in India

Major Projects planned during 2018-19

Integrated Air Command Control System
Tropo Upgrade
Weapon Locating Radar
Low Level Transportable Radar
Low Intensity Conflict EW System
Commander Thermal Imager Sights
Ground Based Mobile ELINT
Electronic Fuzes
Schilka Upgrade
L70 Gun Upgrade
Ship Borne EW System Varuna
Electronic Voting Machines & VVPAT
Homeland Security

Business Initiatives

Acquiring land at High tech Defence & Aerospace Park at Devanahalli for pursuing business in areas like Satellite Integration, Space Electronics, Unmanned Systems, etc
Engagement with potential Strategic Partners (identified by MoD) in the areas of aircrafts, tanks and submarines
Dedicated Business vertical to address Cyber Security, Unmanned Systems and Composites
Thrust on exports, offset and contract manufacturing
Expanding Global presence with new overseas offices
Progress on diversification initiatives of BEL in the areas of Homeland Security & Smart City Business, Ammunition Fuzes and RF Seekers have been satisfactory. BEL is having revenue inflow in these areas

'Make in India' Initiatives

89% of Sales Revenue from Indigenous technology
BEL is focusing more on core areas and R&D to retain IP, all non-core areas are being outsourced to Indian Industries including MSMEs

Outsourcing and Vendor Development Policy has been released
"Make in India" Display Cells established in all Units of BEL
Nodal officers for Outsourcing & Vendor development nominated
Complied with Public Procurement Policy
BEL's Test facilities are being provided to Private vendors

BEL to continue indigenisation efforts in line with 'Make in India' initiative
Radars, Missile Systems, Communication & Network Centric Systems, Tank Electronics, Gun Upgrades, Electro-Optic Systems and Electronic Warfare & Avionics Systems to drive BEL's growth
Establishment of state of art new factories at Machilipatnam for Electo Optics and Anantapur for future Missile programs
Company pursuing business opportunities in Space Electronics, Solar Energy, Homeland Security, Smart Cards and Telecom
Strategies and action plans in place to face competition, maintain technological edge and retain leadership position in strategic electronics

Financial Highlights 2017-18

Turnover registered a growth of 14.28% from 8824.70 Crores in 2016-17 to 10084.84 Crores in 2017-18.
Value of Production has increased from 8715.27 Crores in 2016-17 to 9627.67 Crores in 2016-17. An increase of 10.47%.
Operating Profit rose by 11.37% from 1,570.19 Crores in 2016-17 to 1,748.73 Crores in 2017-18.
Net Worth has increased from 7508.54 Crores in 2016-17 to 7761.01 Crores in 2017-18.
Turnover per employee has increased from 0.91 Crores in 2016-17 to 1.04 Crores in 2017-18

Financial Highlights 2017-18

Earning Per Share was ` 5.70 in 2017-18.
Book Value per Share was ` 31.85 in 2017-18.
Profit Before Tax (PBT) was ` 1947.84 Crores in 2017-18.
Bonus Share issued at 1:10 in October,2017
Buy Back of 2.04 Crores of equity shares of 1 each fully paid-up at price of 182.5 per Share aggregating to ` 372.26 Crores.

2017-18 HOW A RUPEE EARNED IS DISTRIBUTED

⁹

⁴⁶⁷ ⁵⁴⁹ ⁷⁰⁴ ⁷⁷⁷ 988 7.56% 8.20% 9.34% 8.81% 9.79% 2013-14 2014-15 2015-16 2016-17 2017-18 R&D Expenses R&D Expenses to Turnover R&D EXPENSES TO TURNOVER (`in Crores) 413 383 525 612 634 2013-14 2014-15 2015-16 2016-17 2017-18 CAPEX (` In Crore)

GOVERNMENT OF INDIA + NOMINEES, 66.79% MUTUAL FUNDS & UTI, 13.05% FOREIGN INSTITUTIONAL INVESTORS, 6.44% OTHERS, 9.30% INSURANCE COMPANIES, 4.42% SHARE HOLDING PATTERN AS ON 31.03.18

Others includes: Corporate Bodies (3.37%), NRI's (.31%) , Banks & FI's (.34%)

QUARTERLY PERFORMANCE

		Crores)
Particulars	2018-19	2017-18
Total Income from Operation (Net)	2077.84	1772.83
Net Profit for the period before tax (PBT)	250.21	179.27
Net Profit for the period after tax (PAT)	179.73	125.32
`) Earning Per Share (EPS in (Previous year normalised for Issue of Bonus Shares)	0.74	0.51

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Bharat Electronics Ltd. Investor Presentation 2018