HAL to pursue evolution opportunities despite challenges

State-run Hindustan Aeronautics Ltd (HAL) will pursue growth opportunities despite facing challenges, said a top official of the aerospace major on Friday.

State-run Hindustan Aeronautics Ltd (HAL) will pursue growth opportunities despite facing challenges, said a top official of the aerospace major on Friday.

"We are committed to pursuing growth opportunities in spite of the challenges," HAL's new Chairman R. Madhavan told the shareholders at the company's 55th Annual General Meeting (AGM) for fiscal 2017-18 here.

Addressing the institutional and retail investors of the city-based defense behemoth, Madhavan said the company had posted consolidated net sales of Rs 18,624 crore for the fiscal under review.

"The company recorded the highest sales turnover of Rs 18,624 crore in fiscal 2017-18, as against Rs 18,553 crore in fiscal 2016-17, registering a 0.4 percent annual growth despite challenges," said Madhavan.

The AGM was the first the company held with the participation of the retail shareholders after it went public in March, divesting 10.2 percent of its equity holding to raise about Rs 1,400 crore.

The company's consolidated net profit for the fiscal, however, declined 21 percent year-on-year (YoY) to Rs 2,073 crore from Rs 2,625 crore year ago.

Profit before tax also declined 7.5 percent YoY to Rs 3,326 crore from Rs 3,592 crore year ago.

"We produced 40 aircraft and helicopters, including Sukhoi-30 MKI fighters, Light Combat Aircraft (LCA) Tejas and Dornier Do-228 in fixed wing and Advanced Light Helicopter (ALH) Dhruv and Chetak choppers in the rotary wing," said Madhavan.

The company also made 105 aero engines, overhauled 220 aircraft/copters and 550 engines during the last fiscal.

"We have also produced 146 aero-structures for the space programmes of the state-run Indian Space Research Organisation (ISRO) during the period," added Madhavan.

The company's scrip with Rs 10 face value lost Rs 44.10 per share on Friday's trading, ending at Rs 781.85 on the BSE against Thursday's closing rate of Rs 825.95 and opening price of Rs 818.