Shares of Hindustan Aeronautics Ltd (HAL) declined on Tuesday ahead of the company’s June quarter earnings announcement. The stock dropped 2.36% to a low of ₹4,341 on the BSE. Over the past month, HAL has fallen 10.42%, underperforming the BSE Sensex, which declined 2.16% during the same period. Analysts said investors are closely watching updates on GE engine supplies and possible repeat orders for the LCA Mark 1A.
Nomura India projects HAL’s Q1 net profit to rise 16.6% year-on-year (YoY) to ₹1,198.80 crore, compared to ₹1,028.40 crore last year. Revenue is expected to grow 11% YoY to ₹4,825 crore, with EBITDA seen at ₹1,107 crore and margins at 22.9%. The growth is attributed to the execution of a robust ₹1.8 lakh crore order book. Other income is also expected to rise 18% YoY.
Motilal Oswal Financial Services (MOFSL) forecasts a 21% YoY revenue increase to ₹5,250 crore and a 120 basis point rise in EBITDA margins due to improved indigenization and better supply chain conditions. It estimates Q1 profit at ₹1,260 crore, up 24% YoY.
