HAL’s Q4 Profit Takes a Hit: Net Slips 7.7% Amid Aircraft Delivery Delays
Hindustan Aeronautics Limited (HAL) reported a 7.7% year-on-year drop in net profit for the January-March 2025 quarter, with profits falling to Rs 3,977 crore from Rs 4,309 crore in the same period last year.
The decline was attributed primarily to delays in the supply of the Tejas light combat aircraft, which impacted the company’s bottom line despite robust order books.
Revenue from operations also saw a 7.2% decrease, coming in at Rs 13,700 crore compared to Rs 14,768 crore in the previous year’s quarter.
Despite the quarterly dip, HAL’s full-year performance remained strong: net profit for FY25 rose nearly 10% to Rs 8,364 crore, and annual revenue inched up 2% to Rs 30,981 crore.
The company’s shares bucked the quarterly trend, rising 4% post-results, reflecting investor confidence in HAL’s long-term prospects and its critical role in India’s defense sector.
Over the past five years, HAL shares have soared more than 1,700%, underlining sustained market optimism.
The board had earlier declared an interim dividend of Rs 25 per share, rewarding shareholders amid a mixed earnings season.
Looking ahead, HAL is focusing on ramping up indigenous production and reducing reliance on licensed manufacturing, aiming to drive future growth despite near-term operational hiccups.
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