Hindustan Aeronautics is in focus after Andhra Pradesh offered land near Bengaluru for HAL’s aircraft projects. Karnataka opposed shifting these projects, stressing its aerospace leadership. Both states now compete to host key defence facilities.
The shares of HAL have shown no major reaction to these developments. Its stock today is trading up 0.80 percent, and in the past month it has given a positive return of 14 percent.
Recent Developments
Andhra Pradesh Chief Minister Chandrababu Naidu has offered 10,000 acres in Andhra Pradesh’s Lepakshi-Madakasira region in Anantapur district — roughly an hour from Bengaluru’s airport for Hindustan Aeronautics Limited’s (HAL) Advanced Medium Combat Aircraft (AMCA) and Light Combat Aircraft (LCA) projects.
Karnataka Minister M.B. Patil has strongly opposed the proposal to shift Hindustan Aeronautics Limited (HAL)’s AMCA and LCA projects out of Bengaluru, calling it “unacceptable” and “inappropriate.” Citing Karnataka’s 65 percent share in India’s aerospace and defence production, Patil emphasised the state’s historic role as a defence hub. He plans to meet Defence Minister Rajnath Singh to safeguard Karnataka’s interests and advocate for a defence industrial corridor in the state.
In simple terms, Andhra Pradesh has asked to host major HAL aircraft manufacturing projects, which has upset Karnataka. This has led to a strong reaction from Karnataka, as both states are now competing to be the main hub for important defence projects.
Further, the Defence Minister Rajnath Singh has approved the execution model for India’s Advanced Medium Combat Aircraft (AMCA) Programme, which is aimed at boosting indigenous aerospace capabilities.
India is developing the Advanced Medium Combat Aircraft (AMCA), a stealth-enabled, medium-weight fighter jet designed for deep-penetration missions, with the goal of enhancing the nation’s air combat strength and self-reliance in defence technology.
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About the Company
Hindustan Aeronautics Limited (HAL), established in 1940 and based in Bengaluru, is a leading Indian aerospace and defence company under the Ministry of Defence. HAL specialises in designing, manufacturing, and maintaining a wide range of aircraft, helicopters, aero engines, avionics, and related systems.
Some of its notable products include the Light Combat Aircraft (LCA) Tejas, Sukhoi Su-30 MKI, Dhruv Advanced Light Helicopter, and indigenous aero engines like the HTFE-25 turbofan. The company also offers comprehensive maintenance, repair, and overhaul (MRO) services.
The company reported a 7.23 percent YoY decrease in revenue from Rs. 14,769 Crore in Q4FY24 to Rs. 13,700 Crore in Q4FY25. On a QoQ basis, the company reported an increase of 96.92 percent in revenue from Rs. 6,957 Crore in the previous quarter.
Their Net profit saw a decrease of 7.70 percent YoY from Rs. 4,309 Crore to Rs. 3,977 Crore for the same period. On a QoQ basis, the company reported an impressive increase of 176.18 percent in Net profit from Rs. 1,440 Crore in the previous quarter.
Written By Abhishek Das
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