Nirmal Bang on Hindustan Aeronautics: What Is Driving Future Growth?
About Hindustan Aeronautics Limited
Hindustan Aeronautics Limited (HAL) is a premier aerospace and defense company in India, engaged in the design, manufacture, and maintenance of aircraft, helicopters, engines, and related systems. With a strong domestic and global presence, HAL supports India's defense modernization and strategic aerospace programs.
Brokerage Outlook:
Nirmal Bang maintains a Buy rating on HAL, highlighting a robust manufacturing pipeline and delivery ramp-up in the LCA Mk1A program.
Nirmal Bang maintains a Buy rating on HAL, highlighting a robust manufacturing pipeline and delivery ramp-up in the LCA Mk1A program.
Past Performance:
Achieved 8% revenue CAGR over the past five years, supported by RoH orders and strategic program execution.
Achieved 8% revenue CAGR over the past five years, supported by RoH orders and strategic program execution.
FY25 Highlights:
Revenue grew 2% despite GE engine delays, offset by AL-31FP and RD-33 engine programs.
Revenue grew 2% despite GE engine delays, offset by AL-31FP and RD-33 engine programs.
Order Book:
With an order book of ~Rupee 2.5tn, HAL has multi-year growth visibility and strong revenue backlog.
With an order book of ~Rupee 2.5tn, HAL has multi-year growth visibility and strong revenue backlog.
Financial Outlook (FY25-27E):
Revenue and EBITDA expected to grow at a 16% CAGR, with PAT projected to expand at 20% CAGR.
Revenue and EBITDA expected to grow at a 16% CAGR, with PAT projected to expand at 20% CAGR.
Upside Potential:
12 Su-30 MKI aircraft order is scheduled for production between FY27 and FY29, providing further growth opportunities.
12 Su-30 MKI aircraft order is scheduled for production between FY27 and FY29, providing further growth opportunities.
Investor Takeaway
Investors can consider HAL for its strong order book, manufacturing ramp-up, and sustained revenue visibility.
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📌 Explore more insights at Indian-Share-Tips.com, which is a SEBI Registered Advisory Services.
SEBI Disclaimer: The information provided in this post is for informational purposes only and should not be construed as investment advice. Readers must perform their own due diligence and consult a registered investment advisor before making any investment decisions. The views expressed are general in nature and may not suit individual investment objectives or financial situations.
