February 11, 2013 / 5:13 AM / 4 years ago

MARKET EYE-BGR Energy falls to 1-year low on weak order backlog

1 Min Read

* BGR Energy Systems Ltd shares decline as much as 2.9
percent to a one-year low after margins miss estimates and as
high interest costs resulted in a 24.3 percent fall in December
quarter net profit. 
* The energy equipment maker on Friday reported a sequential
decline in backlog to 136 billion rupees versus 140 billion
rupees as of end-Sep 2012, implying lack of any major order wins
in the third quarter.  
* "We expect margins to remain under pressure as more
competitively bid EPC and BTG orders start contributing to
revenue over the next few quarters," Goldman Sachs said in a
note.
* At 0451 GMT shares are down 2.2 percent at 229.90 rupees. 

 (manoj.dharra@thomsonreuters.com/
manoj.dharra.thomsonreuters.com@reuters.net)

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