HAL Q2 Results 2025: Profit Rises 10.5% to ₹1,669 Crore, Revenue Up 11%

Hindustan Aeronautics Limited (HAL), a leading PSU defence manufacturer, reported strong performance in Q2 FY26, reflecting steady growth in profits and revenue. The company continues to maintain its leadership in India’s aerospace and defence sector, supported by a healthy order book and ongoing strategic contracts.

Market Performance

For Q2FY26, HAL posted a consolidated profit of ₹1,669 crore, marking a 10.5% YoY increase from ₹1,510.48 crore in Q2FY25. Revenue from operations rose 11% YoY to ₹6,628.61 crore from ₹5,976.29 crore, highlighting strong execution across projects.

• Total expenses for the quarter were ₹5,296.64 crore, up 17.34% YoY from ₹4,513.92 crore.
• EBITDA declined by 5% YoY to ₹1,558 crore, with EBITDA margins at 23.5%, down from 27.4% in the previous year.

Despite a marginal dip in EBITDA, the company’s consistent top-line growth reflects stable demand for defence manufacturing and project execution.

Standalone Performance

On a standalone basis, HAL’s Q2 numbers were similarly strong:

• Profit: ₹1,662.52 crore, up 11.55% YoY from ₹1,490.36 crore.
• Revenue: ₹6,628.46 crore, 11% YoY growth from ₹5,976.55 crore.

This demonstrates HAL’s operational efficiency and ability to deliver on both domestic and international contracts, sustaining its “Maharatna” status.

Order Book and Strategic Contracts

HAL continues to secure strategic contracts that underpin long-term growth:

• In early November 2025, HAL signed an agreement with General Electric Company, USA, for the supply of 113 F404-GE-IN20 engines.
• The deal also includes a support package for the execution of 97 LCA Mk1A aircraft, with deliveries scheduled between 2027 and 2032.
• The contract for the 97 LCA Mk1A was officially signed in September 2025, reinforcing HAL’s pipeline of defence projects.

These contracts highlight HAL’s role in critical defence programmes and its ability to manage complex international partnerships.

Operational Highlights

HAL’s Q2 performance reflects robust project execution and strategic planning:

• Revenue growth was driven by defence manufacturing projects and engine supply orders.
• Despite rising expenses, the company maintained strong profitability, underpinned by its large order book and ongoing high-value contracts.
• HAL continues to focus on scaling operations for advanced defence programmes, ensuring long-term sustainability and market leadership.

Summary

HAL’s Q2FY26 results underline strong growth in profit and revenue, backed by a solid order book and strategic international collaborations.

Key takeaways from Q2FY26:

• Consolidated profit: ₹1,669 crore, up 10.5% YoY
• Standalone profit: ₹1,662.52 crore, up 11.55% YoY
• Revenue (consolidated and standalone): ₹6,628 crore, up 11% YoY
• EBITDA: ₹1,558 crore, margin 23.5%
• Total expenses: ₹5,296.64 crore, up 17.34% YoY
• Strategic contract: 113 F404-GE-IN20 engines and 97 LCA Mk1A aircraft support package with General Electric, USA

HAL remains a cornerstone of India’s defence manufacturing ecosystem, demonstrating resilience, operational excellence, and continued growth in a competitive sector.