‘HAL’ of Fame: Defence producer reports steady revenue growth in FY 2024-25, despite challenges

Bengaluru: Hindustan Aeronautics Limited (HAL) has recorded a revenue of Rs. 30,400 crore (provisional and unaudited) for the financial year ending March 31, 2025, marginally exceeding the previous year’s revenue of Rs. 30,381 crore, a press release from HAL has said.

Despite facing challenges in the delivery of the Light Combat Aircraft (LCA) and Advanced Light Helicopter (ALH), the company successfully maintained its revenue.

The LCA deliveries were affected due to the non-availability of engines, while the ALH schedule suffered setbacks following an accident in January 2025, leading to the grounding of the fleet.

However, HAL accelerated deliveries of other products and services, helping sustain its financial performance.

Dr. D K Sunil, Chairman and Managing Director of HAL, stated, “This achievement was despite the shortfall in deliveries of LCA and ALH. However, the deliveries of other products and services were accelerated, which helped us maintain the top line.”

Strengthened order book and capacity expansion

Over the last year, HAL significantly strengthened its order book, which now stands at Rs. 1,84,000 crore, compared to an opening order book position of Rs. 94,129 crore after adjusting for current-year liquidation.

The company secured new manufacturing contracts worth Rs. 1,02,000 crore and Repair and Overhaul (ROH) contracts amounting to Rs. 17,500 crore.

A landmark contract was signed with the Ministry of Defence (MoD) for the supply of 156 Light Combat Helicopters (LCH) Prachand, valued at Rs. 62,777 crore — the largest procurement by MoD from HAL to date.

To support its growing order book, HAL expanded its manufacturing capacity by adding additional production lines for the LCA and HTT-40 aircraft and augmenting aero engine capacity at its Koraput facility.

Key achievements in FY 2024-25

HAL reached several milestones during the fiscal year:

• Maharatna Status: HAL became the first Defence Public Sector Undertaking (DPSU) to achieve the prestigious ‘Maharatna’ status.
• New Contracts: HAL secured contracts for the supply of 12 additional Su-30 MKI aircraft, Mid-Life Upgrade (MLU) of 40 Do-228 aircraft, supply of 240 AL31FP engines for the Su-30 MKI aircraft, and an avionics upgrade of one IL-78 aircraft.
• Swift Execution: The first AL31FP engine was handed over within just one month of contract signing.

Outlook for FY 2025-26

With supply chain issues stabilizing, a robust order pipeline, and enhanced production capacity, HAL is gearing up for a stronger financial and operational performance in FY 2025-26.

The company remains committed to supporting India’s defence capabilities while continuing its trajectory of growth and innovation, the release added.