HAL Q4 FY24 Results: Net Profit surges by 52%, stock up 10% post-earnings

Hindustan Aeronautics Limited (HAL) is an Indian public sector aerospace and defence company, headquartered in Bangalore. Established on 23 December 1940, HAL is one of the oldest and largest aerospace and defence manufacturers in the world. Hindustan Aeronautics Ltd.(HAL) has reported its Q4 FY 2023-24 results today in the live market, the stock went up by 8% after the earnings were reported.

Q4 Performance of HAL

Hindustan Aeronautics Ltd. for this quarter has reported a surge in both topline revenue and bottom line net profits. Even though the total income of the company has surged Rs.15,326 crores in this quarter from Rs.13,216 crores in Q4 FY 2022-23 but the total expenses on the other side have been reduced Rs.9,542 crores from Rs.10,359 crores. EBITDA and EBITDA margins under this quarter have improved significantly.

Strong Order Book maintained

During this financial year, Hindustan Aeronautics have maintained a strong order book, The defence company has received major orders that are worth more than Rs.19,000 crores and along with repair and overhaul contracts that are worth about Rs.16,000 crores. This healthy order book has been one of the key reasons for the strong performance of the stock.

Company’s Joint Ventures

The Defence PSU company has various joint ventures named as HATSOFF Helicopter Training Private Ltd. is a top institute for aviation in Bangalore, HALBIT Avionics Private Ltd. provides aerospace and defence systems,The company develops multi-function displays, computer aided learning systems, simulation, avionics. Multirole Transport Aircraft Ltd. is a joint venture of HAL and UAC-TA, Infotech HAL Ltd. delivers engineering as well as aftermarket engineering and support services, i.e., technical publications, repair design, service bulletins, testing, performance analysis, maintenance monitoring etc.,HAL Edgewood Technologies Private Ltd.

Conclusion: After reporting robust results in this march quarter, shares of HAL Ltd. surged by 10% in the live market to more than Rs.4,600 a piece. The HAL stock has given solid returns of more than 190% over the past one year.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.