HAL’s consolidated net profit rose 10.5% year-on-year to Rs 1,669 crore for the July–September quarter, compared with Rs 1,510 crore a year earlier. While revenue from operations climbed 10.9% to Rs 6,629 crore, in line with expectations, profitability pressures weighed on sentiment.
Margins below guidance
The company’s EBITDA margin for the quarter slipped to 23.5%, down from 27.4% in the same period last year. For the first half of the current financial year, the margin stood at 24.8%, well below HAL’s full-year guidance of 31%. EBITDA declined 5% to Rs 1,558 crore from Rs 1,640 crore last year.
While topline growth was steady, cost pressures and execution timing continued to impact margins.
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Technicals still supportive
HAL shares remain up 14% so far in 2025. From a technical perspective, the stock continues to trade above all its key simple moving averages, from the 5-day to the 200-day SMA, signalling underlying bullish momentum.
The Relative Strength Index (RSI) at 59.6 indicates neutral territory, while the Moving Average Convergence Divergence (MACD) at -6.9 remains above the centre line, suggesting the stock’s longer-term uptrend remains intact despite near-term pressure.Also read | Tata Motors Commercial Vehicles hits top gear on debut post demerger. Here are 7 takeaways from the listing(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)