Shares of Hindustan Aeronautics Ltd (HAL) extended gains for the second straight session on Friday, February 13 after Q3 results. The company’s net profit reached ₹1,867 crore, reflecting a 30.3% increase from the prior year’s ₹1,433 crore.
Its revenue amounted to ₹7,699 crore, marking a 10.7% rise from the ₹6,957 crore reported in the same quarter of the previous fiscal year. HAL’s earnings before interest, tax, depreciation, and amortisation (EBITDA) grew by 11.2%, climbing to ₹1,871 crore from ₹1,683 crore the year before.
The board of directors of HAL has announced the first interim dividend of ₹35 per equity share, each valued at ₹5, for the financial year 2026. The record date for this dividend is set for Wednesday, February 18, 2026. Eligible shareholders will receive the dividend on or before March 14, 2026.
HAL – Q3 results Review
Seema Srivastava, Senior Research Analyst at SMC Global Securities, said that the declaration of a ₹35 per share interim dividend underscores management’s confidence in cash flows and financial strength. Overall, the results reflect robust operational performance and stable margin expansion supported by disciplined cost management.
ICICI Securities mentioned in its report that HAL’s performance in Q3FY26 was generally in line with market expectations. Year-to-date, the revenue growth of approximately 11% slightly exceeded the annual forecast of 9–10%.
The domestic brokerage house believes that the recent news (Link) about HAL being excluded from the AMCA program will not significantly affect the company’s medium-term outlook. Currently, HAL boasts its highest-ever order book ranging from ₹2.5 to 2.6 trillion, which includes 180 Mk1A aircraft orders that, even under full execution rates, are expected to take around 8 years to fulfill.
The brokerage firm noted that there is also potential for the Mk2. Furthermore, HAL has entered into a Memorandum of Understanding for the production of the SJ-100 in India. As a result, they anticipate that HAL will be fully occupied for the next 10 to 11 years, leaving minimal capacity for the AMCA. Moving forward, execution will be a critical factor to monitor.
“ Maintain a BUY rating; the target price has been adjusted to ₹5,300 (down from ₹5,725), based on a multiple of 35 times the FY28E earnings per share,” said ICICI Securities.
