State-run Bharat Heavy Electricals (BHEL) is likely to spend about Rs 870 crore as one-time expenditure on the proposed amalgamation of Bharat Heavy Plate & Vessels (BHPV) with itself. There will be annual recurring expenses to the tune of Rs 75 crore with regard to employee salaries. Further, an amount of Rs 224 crore will be spend towards liabilities arising out of legal cases and excise duty/ service tax and outstanding loans to BHEL worth over Rs 234 crore. This estimated cost will be funded through the internal accruals of BHEL.
BHEL has reported a fall of 4.21% in its net profit at Rs 3237.54 crore in Q4FY13 as compared to net profit of Rs 3379.81 crore in the same quarter previous year. Total income from operation of the company has decreased by 2.15% to Rs 18850.16 crore as compared to Rs 19264.40 crore in corresponding quarter last year.
