HAL Q3 Results: Profit rises 14% to Rs 1,440 crore; company announces Rs 25 dividend

Hindustan Aeronautics Ltd (HAL) posted a 14 per cent increase in consolidated net profit at Rs 1,440 crore for the quarter ended December 31, 2024, up from Rs 1,261 crore in the same period last year. The company’s revenue from operations grew 15 per cent year-on-year (YoY) to Rs 6,957 crore, driven by steady demand from the defence sector.

Strong order execution drives revenue growth

HAL’s revenue surge was supported by the execution of its manufacturing order book and an increase in replacements and spares. The defence PSU has been actively fulfilling orders from the Ministry of Defence, ensuring consistent business momentum. Analysts noted that the company’s repair and spares segment plays a significant role in its overall sales.

Dividend announcement and key dates

The company declared a first interim dividend of Rs 25 per equity share, with a face value of Rs 5. The record date for the dividend is set for February 18, 2025, and eligible shareholders will receive payments by March 14, 2025.

Stock performance and outlook

Despite the strong earnings, HAL shares traded 1.5 per cent lower at Rs 3,596 on the BSE during afternoon trade on February 12. The stock has seen volatility, with a 52-week high of Rs 5,674 and a low of Rs 2,825. HAL’s market capitalisation currently stands at Rs 2.39 lakh crore.

With a solid order pipeline, including a recent Rs 13,500 crore contract for 12 Sukhoi fighter jets, HAL remains a key player in India’s defence manufacturing sector. The company’s performance in the upcoming quarters will be closely watched as it continues to execute its order book and secure new deals.

More to come...