Hindustan Aeronautics signs amendment to LCA Mk1 FOC contract; check details

LCA Mk1A is an advanced variant of India's indigenous Light Combat Aircraft (LCA) Tejas, developed by Hindustan Aeronautics Limited (HAL).

The value of the contract has been revised to ₹6,542.20 crore from ₹5,989.39 crore, on account of the revision in the delivery schedule.

The development came post stock market hours. Shares of HAL settled 1.01% higher on Thursday at ₹4,170 apiece on the National Stock Exchange. Its market capitalisation stands at ₹2.78 lakh crore.

Over the last five trading days, the scrip has gained over 7.5%. It has soared 28.60% in a month, while year-to-date, for a six-month period from September 27, 2024, HAL shares are down almost 7%.

The stock has been outperforming benchmark equity indices for some time.

HAL shares had touched their 52-week low of ₹3,046.05 apiece on March 3, 2025. Its 52-week high was attained on July 9, 2024, at ₹5,674.75 per share.

Further, American defence major GE Aerospace on March 26 said it delivered the first of 99 F-404-IN20 aircraft engines to Hindustan Aeronautics Limited for the Tejas light combat jet programme.

"This is an important milestone in our 40-year partnership with HAL and in our ongoing efforts to support India's defence sector by advancing next-generation fighter capabilities while strengthening domestic defence manufacturing," GE Aerospace had said.

State-run HAL is procuring the engines to power the Mk-1A variant of the Tejas jets.

In the quarter ended December 2024, Hindustan Aeronautics reported a net profit of ₹1,432.60 crore, marking an increase of 14.28% from ₹1,253.51 crore logged in the same period last year.

Its revenue from operations rose 15% to ₹6,956.93 crore as against ₹6,060.91 crore registered in the year-ago period.

HAL is a 'Maharatna' public sector undertaking (PSU) under the Defence Ministry of the Government of India. The state-run firm designs and manufactures helicopters, fighter jets, jet engines, and marine gas turbine engines.