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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