Bharat Heavy Electricals (BHEL) shares declined nearly 6 per cent on Monday after the state-run power equipment maker on Friday posted 59.5 per cent fall in net profit figures to Rs 359.58 crore for the quarter ended March 31, 2016, due to lower income from operations. It had posted a net profit of Rs 888.35 crore in the corresponding quarter of 2014-15. The share price of the company closed 5.81 per cent down at Rs 120.75. The scrip opened at Rs 123.80 and has touched a high and low of Rs 125.75 and Rs 120.25, in trade. Sensex settled 72 points up at 26725. Total income from operations fell by 21.50 per cent to Rs 10,004.77 crore during the January-March quarter 2015-16 compared to that of Rs 12,745.19 crore in the same period of previous fiscal. However, total expenses decreased to Rs 9,883.76 crore, over Rs 11,345.53 crore in the year-ago period. Nomura in a research note said, "BHEL Q4 results was a miss at all levels on lower sales and lower margins. We expect BHEL gross margins to remain under pressure as future mostly super-critical orders continue to have JDU clauses which will drag down margins. The brokerage house has 'Reduce' rating on BHEL with target price of Rs 102. According to Religare Capital Markets, BHEL\u2019s Q4FY16 operating results remained below estimates. The company excluded orders of Rs 3780 crore from the order book (Rs 1.1trn) in Q4 as prospects of these projects commencing were bleak. The addressable market remains challenging for BHEL, while margin pressures are likely to continue. The brokerage house has 'Sell' rating on BHEL with March 2017 target price of Rs 75. The board of directors on Friday also recommended a final dividend of Rs 0.40 per share (Face value Rs 2 per share). The company has an outstanding order book position of Rs 1,10,730 crore at the end of 2015-16.