HAL posts Rs 32,250 crore in revenues in FY26, sustains growth despite global headwinds

Bengaluru: Hindustan Aeronautics Limited (HAL) has reported a provisional and unaudited revenue of Rs 32,250 crore for the financial year 2025-26, marking a steady rise from Rs 30,981 crore recorded in the previous fiscal, underscoring its resilience amid global disruptions.

The state-run aerospace major navigated a challenging year marked by geopolitical tensions, global conflicts, and supply chain constraints that impacted deliveries of key platforms such as LCA Mk1A and HTT-40.

However, accelerated deliveries of Advanced Light Helicopters (ALH), AL31-FP and RD-33 engines, along with other products and services, helped the company sustain its growth momentum and maintain healthy profitability.

“HAL has shown resilience and maintained steady growth despite geopolitical tensions, global conflicts, and supply chain challenges in the aerospace and defence sectors. During the past year, HAL strengthened its order pipeline, expanded its manufacturing capability and diversified into the civil segment to support future growth,” said Dr. D K Sunil, Chairman and Managing Director.

The company’s order book remained robust at around Rs 2.54 lakh crore as of March 31, 2026, significantly higher than the opening position of Rs 1.89 lakh crore, after factoring in current-year execution.

The growth was driven primarily by major contracts signed with the Ministry of Defence, including the landmark order for 97 LCA Mk1A aircraft worth Rs 62,370 crore, along with orders for six ALH Coast Guard helicopters and eight Dornier aircraft.

HAL’s strong pipeline of manufacturing orders spanning helicopters, aircraft, and engines provides clear revenue visibility over the next seven to eight years.

The Repair and Overhaul (ROH), spares, and services segment also continues to remain stable and is expected to grow steadily.

During the fiscal, HAL rewarded its shareholders with substantial dividends. The company paid an interim dividend of Rs 35 per equity share for FY26 amounting to Rs 2,341 crore, in addition to a final dividend of Rs 15 per share for FY25 totalling Rs 1,003 crore.

The total cash outflow towards dividends during the year stood at Rs 3,344 crore.

On the operational front, HAL made notable strides in capacity expansion with the commissioning of the third LCA Tejas production line and a second HTT-40 production line at its Nasik facility.

In a strategic move towards self-reliance, the company signed an MoU with Mishra Dhatu Nigam Limited (MIDHANI) to establish a Strategic Metal Bank for critical raw materials.

The year also marked HAL’s firm entry into the civil aviation space with the successful inaugural flight of the Dhruv NG helicopter. Additionally, the first series-production HTT-40 aircraft completed its maiden flight, signalling progress in indigenous trainer aircraft development.

Expanding its global and domestic partnerships, HAL signed a key MoU in Moscow with United Aircraft Corporation (PJSC-UAC) for the production of the SJ-100 civil commuter aircraft.

It also secured contracts with Pawan Hans Ltd for the supply of 10 Dhruv NG helicopters and with Jags Aviation, Guyana, for two Hindustan-228 aircraft, which were delivered ahead of schedule.

In a significant diversification step, HAL entered the space sector by signing the Small Satellite Launch Vehicle (SSLV) Technology Transfer Agreement with ISRO, IN-SPACe, and NSIL, positioning itself as a future launch service provider in the growing small satellite market.

The company also accelerated its digital transformation journey with the rollout of robotic process automation, AI-enabled systems such as Flight Snag Intelligence, and Daily Digital Inspection tools to improve operational efficiency.

As part of its long-term strategy, HAL is centralising IT infrastructure through a Tier-3 data centre and private cloud development.

Reinforcing its sustainability goals, HAL has established a renewable energy capacity of 50.15 MW, meeting around 40 percent of its electricity needs through green sources.

On the social front, it launched the HAL Endowment Scholarship Scheme in collaboration with the Indian Institute of Technology-Madras to support meritorious students from economically weaker sections over a 15-year period.

The company also focused on leadership development by rolling out the seventh edition of its flagship Leadership Development Programme aimed at grooming future leaders.

With a strong order book, enhanced production capabilities, and improving supply chain conditions, HAL is well-positioned to deliver sustained growth and robust financial performance in FY 2026-27 and beyond.