HAL share price jumps over 3% after Q3 results 2025, 500% interim dividend

Stock Market Today: Hindustan Aeronautics Ltd ( HAL) share price jumps over 3% during the intraday trades on Thursday after Q3 results 2025 that were declared post market hours on Wednesday. HAL had announced a 500% interim dividend too

Hindustan Aeronautics Ltd (HAL) share price opened at ₹3605 on the BSE on Thursday, slightly higher than the previous close of ₹3596.15. The Hindustan Aeronautics Ltd (HAL( share price thereafter gained further to the intraday highs of ₹3730.90 , which mean gains of 3.7% over the previous close

HAL share price while had corrected significantly from 52 week or 1 year highs of ₹5,675.00 , however is rebounding well from February lows.

Hindustan Aeronautics (HAL) Q3 Results

In the third quarter of FY25 or October -December 2024 quarter , the state-run defence company, Hindustan Aeronautics Ltd or HAL posted a net profit of ₹1,432.6 crore, up 14.3% from ₹1,253.5 crore in the same period last year.

In Q3FY25, HAL’s operating revenue climbed 14.8% year over year (YoY) to ₹6,956.9 crore from ₹6,060.9 crore.

At the operational level, EBITDA (earnings before interest, tax, depreciation, and amortization) increased 17.2% to ₹1,681 crore in the quarter that ended in December 2024 from ₹1,434 crore in the same period of the previous fiscal year.

Additionally, the EBITDA margin increased 50 basis points (bps) from 23.7% YoY to 24.2% in Q3FY25.

HAL Dividend details

The Board of Directors of HAL has declared first interim dividend of ₹25 per equity share of Rs. 5/- each fully paid up(, which translated into 500% dividend considering the face value for the Financial Year 2024-25

Record date for the payment of first interim dividend will be Tuesday, the 18th February, 2025. The dividend will be paid to all the eligible shareholders on or before 14th March, 2025

Analyst views

Antique Stock Broking said that Hindustan Aeronautics (HAL) delivered strong overall performance despite supply-side challenges it has been facing from GE for GE 404 engines for its Tejas Mk-1A fighter aircraft. They remain confident of HAL’s business prospects as India is in the midst of modernizing its armed forces due to Obsolescence and prevailing adverse geopolitical situation, leading to strong ordering for fighter aircrafts and helicopter from the Indian Armed Forces. HAL as per Antique should deliver 11% earnings CAGR over FY24-27E. Given the strong business outlook, they retain BUY rating

Prabhudas Lilladher analysts believe that HAL’s execution on the deliveries of Tejas Mk1A aircrafts will be a key monitorable in the coming quarter. However HAL is a long-term play on the growing strength & modernization of India’s air defense given it is the primary supplier of India’s military aircraft, long-term sustainable demand opportunity owing to government’s push on indigenous procurement of defense aircraft, a robust order book with a 3-year pipeline of more than ₹2 lakh crore and leap in HAL’s technological capabilities due to development of advanced platforms (Tejas, AMCA, GE-414 & IMRH engines, etc.), coupled with improvement in profitability via scale & operating leverage. The stock is currently trading at a Price to Equity ratio 32.8 times and 28.7 times on FY26 and 27 estimated earnings.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.