Latest news with #ALH
News18
16-07-2025
- Business
- News18
India Set To Receive First Consignment Of Apache Helicopters From US By Next Week: Reports
Last Updated: A first batch of advanced Apache attack helicopters is expected to arrive from the US by July 21, boosting the Army Aviation Corps' strike and reconnaissance power. India is slated to receive the first consignment of modern Apache attack helicopters from the United States as soon as next week, The New Indian Express reported. The development would serve as a big boost to the offensive capability and reconnaissance operations of the Indian Army's Aviation Corps (AAC). The report quoted sources and suggested the helicopters are expected to arrive by next Monday (July 21). The helicopters will be deployed along the western border, where troop presence has grown recently in the wake of the 'Operation Sindoor'. Earlier this month, sources had confirmed to CNN-News18 that the first batch of three out of the six Apache helicopters was likely to be delivered to the Indian Army before the end of July. Officials had also expressed hope that the remaining three units of the Boeing AH‑64E Apache helicopters would arrive in India in the next few months, before the end of 2025. In March last year, the Army Aviation Corps signed a contract for 25 new ALH helicopters. The Ministry signed two contracts for a combined value of Rs 8073.17 crore for the acquisition of 34 Advanced Light Helicopters (ALH) Dhruv Mk III for the Indian Army (25 ALHs) and Indian Coast Guard (09 ALHs), marking a significant move towards indigenisation in defence manufacturing. The Indian Army's Army Aviation Corps raised its first squadron of Apache attack helicopters in Jodhpur on March 15. Later, the Indian Army signed a contract to acquire six Apache helicopters from the US. However, the delivery of the choppers missed two deadlines. The first batch of choppers was expected to be delivered by June 2024. However, the timeline was pushed to December that year due to supply chain issues. The Indian Air Force already operates the Apache helicopters, a deal for which was signed in 2015, and all 22 AH-64E Apache helicopters have been delivered by 2020 and are operational in the forces. view comments Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
Hindustan Times
25-06-2025
- General
- Hindustan Times
Fix eludes HAL on navy, coast guard Dhruvs
NEW DELHI: Plane maker Hindustan Aeronautics Limited (HAL) is struggling to pinpoint and fix a lingering flaw in the Dhruv advanced light helicopters operated by the navy and coast guard, and a question mark hangs over when will the locally produced choppers --- grounded for almost six months now --- return to service, officials aware of the matter said on Wednesday. Fix eludes HAL on navy, coast guard Dhruvs The military's advanced light helicopter (ALH) fleet was grounded following a fatal coast guard crash at Porbandar in Gujarat on January 5, but the army and air force choppers were declared airworthy after comprehensive safety checks on May 1. HAL has instrumented two ALHs --- one each from the navy and coast guard --- to gather critical data on the performance of the helicopter's integrated dynamic system, including the transmission system, gearbox and rotor hub, as well as test the loads some systems can withstand in different operating conditions, said one of the officials cited above, who asked not to be named. 'The data will be thoroughly analysed to determine the root cause of the problem that appears to be linked to sustained operations in a saline environment. There are no issues with the army and air force ALHs,' the official said. The navy and the coast guard together operate around 30 ALHs, designed and developed by HAL. The 300 ALHs operated by the army and air force were cleared for flying duties based on the recommendations of the defect investigation committee (DIC). The data obtained from the two instrumented helicopters (fitted with gauges and sensors) will be compiled and analysed by July-end, said a second official, who also asked not to be named. 'That should help us identify the snag and fix it. HAL will then go back to the DIC with its findings to figure out the next steps,' he added. The DIC consists of officials from the Bengaluru-based Centre for Military Airworthiness and Certification (CEMILAC), the Directorate General of Aeronautical Quality Assurance and HAL. HAL had earlier broadened the scope of the investigation by involving Bengaluru-based Indian Institute of Science (IISc) to perform fatigue testing of a critical part (swashplate) in the helicopter's transmission system to get to the bottom of the matter. This was after a high-powered panel found that a swashplate fracture caused the January 5 coast guard ALH crash in which two pilots and an aircrew diver were killed. But the reason for the breakdown of the critical component that compromised the ability of the pilots to control the helicopter could not be determined. A fleet-wide inspection conducted after the January 5 crash revealed that some navy and coast guard ALHs were facing the same problem --- cracks in the swashplate assembly. HT was the first to report that a detailed analysis by the Council of Scientific and Industrial Research-National Aerospace Laboratories (CSIR-NAL), Bengaluru, pointed to a swashplate assembly failure. The ALH underwent a design review followed by a replacement of a defective control system only in 2023-24. The helicopter has been involved in around 15 accidents during the last five years, putting its safety record in the spotlight. The coast guard suspended ALH operations following an accident last September when a helicopter crashed into the Arabian Sea near Porbandar. Then too, two pilots and an aircrew diver were killed. The grounding was for a one-time check; the three services did not ground their fleets then. The coast guard cleared the helicopters for flying a few weeks later, after a safety inspection involving HAL, CEMILAC and all coast guard units. Last September's accident, too, came after the design review that culminated in a critical safety upgrade on the ALH fleet. It involved installing upgraded control systems on the helicopters to improve their airworthiness. The comprehensive design review came after the ALH fleet was grounded several times in 2023 too after a raft of accidents called into question its flight safety record.
Business Upturn
11-06-2025
- Business
- Business Upturn
Hindustan Aeronautics shares in focus today as helicopter fleet gets operational clearance post grounding
By Aditya Bhagchandani Published on June 11, 2025, 09:38 IST Shares of Hindustan Aeronautics Limited (HAL) were in focus on June 11, trading 0.47% higher at ₹5,135.90 in early hours, after both its Dhruv Advanced Light Helicopters (ALH) and Prachand Light Combat Helicopters were cleared for flying, as per TOI reports. The clearance comes months after a fatal ALH crash in Porbandar on January 5, which led to a complete grounding of HAL's rotary platforms across the Army, Air Force, Navy, and Coast Guard. The helicopters were cleared following the replacement of specific components, based on findings by a defect investigation committee. This clearance paves the way for resumed operations and deliveries, which HAL management previously said had impacted Q4 FY25 revenues and margins. With operations now restored, Q1 FY26 onwards is expected to reflect positive contributions from the helicopter segment. The Indian Army, which has over 180 ALHs including 60 weaponised versions (Rudra), was the most affected by the grounding. The Indian Air Force operates 75 ALHs, the Navy 24, and the Coast Guard 19. Additionally, the IAF has 10 Prachand choppers while the Army has five. Notably, in March 2025, the Defence Ministry signed a ₹62,700 crore contract for 156 Prachand helicopters, with 90 units allotted to the Army and 66 to the IAF. Brokerage View According to Antique Broking, Hindustan Aeronautics (Rating: Buy, Target Price: ₹6,545) is set to be a key beneficiary of India's long-term air force modernisation strategy. With the Indian Air Force looking to expand from 32 to 42 squadrons, over 300 new aircraft may be required in the coming years. HAL is well-positioned to capture this opportunity with indigenous platforms like the Tejas Mk-1A, Mk-II, and the fifth-generation AMCA. Production challenges due to delays in engine deliveries from GE are also easing. The first engine was delivered in Q1 FY26, and 12 more are expected within the fiscal year. The execution of the 83-aircraft Tejas Mk-1A order is now expected to accelerate, with prospects of a follow-on order for an additional 97 jets. Aditya Bhagchandani serves as the Senior Editor and Writer at Business Upturn, where he leads coverage across the Business, Finance, Corporate, and Stock Market segments. With a keen eye for detail and a commitment to journalistic integrity, he not only contributes insightful articles but also oversees editorial direction for the reporting team.
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Business Standard
19-05-2025
- Business
- Business Standard
Guidance, stock rally may keep Hindustan Aeronautics under pressure
Hindustan Aeronautics' (HAL) performance for FY25 was driven by improved margins and lower provisions. The order book as of March '25 was of Rs 1.8 trillion, with inflows of Rs 1 trillion during FY25. Given more assured engine supply from GE, HAL is optimistic about delivering 12 Tejas Mk1A aircraft during the year. The guidance was for a conservative 8-10 per cent revenue growth. HAL reported a decent set of numbers in Q4FY25, with revenue at Rs 13,700 crore (down 7 per cent Y-o-Y). The operating profit dipped 10 per cent Y-o-Y to Rs 5,290 crore, while margins at the operating level dipped 140 basis points Y-o-Y to 38.6 per cent. The net profit margin stood at 29 per cent. Net profit was down 8 per cent Y-o-Y due to reversals of some provisions received during FY24, resulting in higher net profit base in Q4FY24. For FY25, revenue was up 2 per cent to Rs 30,980 crore while operating profit increased 18 per cent to Rs 9,610 crore while margin expanded 370 basis points Y-o-Y, led by lower provisions. Due to lower depreciation and a spike in other income, reported net profit grew 10 per cent Y-o-Y to Rs 8,360 crore. Adjusted net profit grew 38 per cent Y-o-Y. The LCA Mk1A programme saw the resolution of engine supply issues from GE. The first F404 engine was delivered in April this year, and successfully integrated. GE committed to delivering 12 engines in CY25, enabling HAL to target 12 LCA deliveries. In FY25, revenue consisted of 23 per cent manufacturing with repair/overhaul or ROH being 70 per cent and rest 7 per cent being exports and design and development (D&D). Given the order book and opportunities, there could be sustained long-term growth. The order book included 156 light combat helicopter (Prachand) (Rs 62,800 crore), 240 AL-31FP engines (Rs 25,500 crore), and 12 Su-30 MKIs (Rs 13,500 crore), alongside ROH (Rs 19,270 crore), D&D (Rs 3,180 crore), and exports (Rs 490 crore) orders. HAL expects annual ROH orders of around Rs 20,000 crore, driven by in-service fleets like the ALH (340+), Su-30s (250+), Jaguars, and Dorniers. Going ahead, the LCA MK1 would be entering the overhaul phase and there are sustained platform additions. HAL will deliver 12 Su-30s under a new contract starting FY27. The Rs 60,000 crore Su-30 avionics upgrade project is in the approval phase, with D&D in FY26 and aircraft orders by FY31. The 156-unit LCH Prachand order will begin delivery in FY28, with execution over 5.5 to 6 years. ALH deliveries are expected to accelerate in FY26. In FY25, HAL reported total provisions of about Rs 2,500 crore. There was an exceptional Rs 804 crore provision allocated for an engine damaged during repairs, classified as a precautionary provision. This was not a write-off but a provisioning with prudent accounting practices. The management said future provisioning is expected to remain stable, with deviations limited to 3-5 per cent. There were no write-backs or reversals of earlier provisions. Key risks include slower-than-expected finalization of large orders, delays in deliveries of key components such as engines, delays in payments and possible competition for the private sector. The execution of Tejas Mk1 delivery will be major monitorable. Given everything, revenue may record a annual growth of 21 per cent over FY25-27, due to manufacturing scale-up. Operating profit margin should remain at 28-30 per cent. Given annual capex of Rs 4,000-5,000 crore and good working capital management, net profit should have mid-teens growth over FY25-27. Return on equity and capital employed should be over 20 per cent.
Mint
15-05-2025
- Business
- Mint
Hindustan Aeronautics: Here's all you need to know before investing
Few companies in India have garnered as significant an impact in the aerospace and defence sectors as Hindustan Aeronautics Ltd (HAL). The state-owned giant has been instrumental in shaping the future of India's aerospace and defence capabilities. With decades of expertise, HAL has grown beyond being a mere supplier of military aircraft to becoming a strategic enabler of national defence, advancing the country's aspirations of self-reliance under initiatives like Make in India. From manufacturing state-of-the-art aircraft to developing cutting-edge drones, HAL's journey is a testament to its resilience, innovation, and vision for the future. The company's financial trajectory, bolstered by a substantial order book and strong government backing, signals strong growth prospects, making it a worthy stock to watch. Here's everything you need to know before investing in HAL. About the company Hindustan Aeronautics (HAL) is one of the largest and most renowned aircraft manufacturing companies in India. With a history spanning over seven decades, HAL has been instrumental in the design, development, and production of various aircraft, helicopters, and aero engines. The company's notable achievements include the production of indigenous aircraft like the Tejas Light Combat Aircraft (LCA) and the Advanced Light Helicopter (ALH). HAL's expertise extends to aircraft upgrades, overhaul services, and the manufacture of aero structures, avionics, and other critical components. It has 20 production and overhaul divisions and 9 R&D centres across India. The company inaugurated a new design and test facility at Aero Engine Research & Development Centre in Bangalore in December 2023, to accelerate R&D of aeroengines. HAL has historically been one of the PSUs with largest allocation to R&D costs. The company spends around 8% of the total revenue on R&D. Also, it has created an R&D reserve. An annual contribution of 15% of the operating profit, is transferred into this reserve. HAL's Giant Leap The company's role in India's defence sector is evolving, thanks to strategic initiatives like the Make in India program. This initiative has allowed HAL to step up its innovation game, resulting in enhanced revenue visibility and an increased appetite for taking on capital-intensive projects. HAL's massive order book continues to expand, with major inflows expected in the near future. The company's aggressive push into export markets has also contributed to its growth. With platforms like the LCA Tejas gaining international recognition, HAL is steadily enhancing its export portfolio, positioning itself as a key player on the global defence stage. Notably, HAL has been awarded the largest proposal approval in its history—a project worth ₹70,500 crore for the construction of 60 marine utility helicopters, with an estimated cost of ₹32,000 crore. What makes HAL particularly interesting for investors is its exposure to the growing drone market. The company is at the forefront of developing AI-driven, advanced drones for high-altitude strategic missions. Its emphasis on reducing foreign dependency for such technology aligns with the government's self-reliance goals. Order Book Strength HAL's order book is a key pillar of its growth story. The company's net profit has grown at a CAGR of 26% in the last three years supported by its healthy growth of order book and timely execution. At the end of FY25, its order book stood at a little over ₹1.2 trillion. This is up from ₹94,000 crore as of FY24 and ₹82,000 crore in FY22. In recent times, HAL has received substantial contracts for repair and overhaul services. A landmark contract awarded to HAL by the ministry of defence was in September 2024, for the supply of 240 aero-engines for the Su-30 MKI aircraft, worth ₹26,000 crore. This growing order book provides HAL with visibility for future revenue streams, making it a solid investment proposition. Moreover, HAL is expected to secure additional major contracts over the next few years, with the total order inflows expected to range between ₹1.6 trillion to ₹1.7 trillion over the next 18 months to three years. The management expects full workload until 2032 and expects to maintain double-digit growth in sales. It has also planned ₹14,500 crore capex over five years for capacity expansion and modernisation. HAL is poised for significant order inflows, with ₹1.3 trillion worth of contracts for 97 LCA Tejas Mark 1A and 156 LCH Prachand at an advanced stage of clearance, expected to materialise within the next three to six months. Nevertheless, investors should note that the company has received some criticism due to the delay in delivery of the fighter jets. The typical execution period for the order book extends to a few years, which could further stretch due to time taken to build capabilities. As such, the risk of overruns cannot be ruled out, impacting margins. Financial Performance HAL's financial performance has been robust. Its sales have been growing smoothly. During 2020-24, the sales and net profit have grown at a CAGR of 9.6% and 26%, respectively. The returns have been admirable, reporting an average RoCE and RoE of 30% and 26%, respectively. Due to its large scale and healthy operating profitability, the company's debt coverage metrics remain strong. As a result, its liquidity position is strong, as evidenced by its cash balance of ₹26,400 crore. Given the volatile geopolitical scenario, defence companies like HAL will remain instrumental in India's manufacturing ecosystem and will play a crucial role in helping India become part of global defence supply chain. Stock Performance Over 5 Years HAL has seen its stock price surge significantly in recent years, delivering impressive returns to investors. Over the past one year, HAL's stock has moved up 16% while in the past 5 years it has surged 1,700%, fuelled by increasing investor confidence in the company's growth prospects. What next? The future of HAL is intrinsically tied to India's defence spending, which continues to grow as the government focuses on modernizing the armed forces and strengthening self-reliance in defence technology. HAL is well-positioned to capture a significant share of this increasing budget, particularly as the country looks to reduce reliance on foreign defence suppliers. HAL's drone initiatives are a key area of growth. The company is developing the CATS Warrior, an AI-driven unmanned combat aerial vehicle (UCAV) that will work alongside manned fighter jets. It's also developing the CATS Hunter, a companion system for unmanned and manned aircraft. The company has set its sights on the launch of the CATS Warrior II, an advanced drone with 10+ hours of endurance and a payload of 400–500 kg, set for production by 2027. In addition to drones, HAL's focus on advanced avionics, AI-driven systems, and the production of strategic aircraft and helicopters further strengthens its growth potential. With an expected capex investment of ₹3,000 crore per year until FY30, HAL's roadmap for the coming years is clear—continued growth, innovation, and deeper integration with India's defence ecosystem. Conclusion HAL's story is one of steady evolution, transforming from a traditional defence manufacturer into a modern aerospace and defence giant. As the company continues to innovate and execute, it could remain an attractive option for long-term investors looking to capitalize on India's defence and aerospace growth. However, HAL could face some surprise challenges along the way. Dealing with the government, its primary client, can be arduous due to high receivable days and orders that are heavily reliant on defence budget allocations. Investors should evaluate the company's fundamentals, corporate governance, and valuations of the stock as key factors when conducting due diligence before making investment decisions. Happy Investing. Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such. This article is syndicated from
