Defence stock engaged in the design, development, manufacturing, maintenance, and upgrading of aircraft, helicopters, and critical aerospace components, jumped 6 percent in the day’s trade upon receiving a work tender from the Ministry of Defence to procure 156 LCH.
With a market capitalization of Rs. 3,63,011 Crores, the shares of Hindustan Aeronautics Limited were trading at Rs. 5,425 per equity share, up 4.32 percent from its previous day’s close price of Rs. 5,200.55.
Hindustan Aeronautics Limited has announced it has received a Request for Proposal (RFP) from the Ministry of Defence for the procurement of 156 Light Combat Helicopter. Of the 156 LCH requested by the Defence Ministry, 90 are being procured for the Indian Army (IA) while the remaining 66 are for the Indian Air Force (IAF).
As per media reports, the tender is expected to be worth over Rs 45,000 crore with helicopters to be acquired by the Indian Air Force and Indian Army.
In addition, it has recently inaugurated state-of-the-art Propellant Tank Production and CNC Machining facilities at HAL’s Aerospace Division, to provide a major boost to ISRO’s ability to meet its growing production needs, particularly for the Launch Vehicle Mark-3, India’s heaviest and most powerful rocket. It involves the manufacturing of high-performance fuel and oxidizer tanks, critical components for the LVM3 launch vehicle
Hindustan Aeronautics Limited (HAL) is the Indian government’s prime manufacturer of defense machinery in the Aeronautic segment. The Company designs, develops, manufactures, maintains, and upgrades aircraft, helicopters, and critical aerospace components & accessories.
Hindustan Aeronautics Limited has a strong order book of Rs. 94,000 Crores and it expects it to increase to Rs. 1,20,000 Crores. It consists of Manufacturing Contracts, Repair & Overhaul, Design & Development Projects, supply of spares, and exports.
It has a strong customer base that consists of the Indian Air Force, the Indian Navy, the Indian Coast Guard, ISRO, DRDO, and Some of the international clients are Airbus Industries, Boeing, GE Aviation, Honeywell International, Rolls Royce Plc, and many more.
Its Revenue from operations grew by 18.20 percent from Rs. 12,495 Crores in Q4FY23 to Rs. 14,769 Crores in Q4FY24, accompanied by profits of Rs. 2,841 Crores to Rs. 4,292 Crores.
Written by: Bharath K.S
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