Following the announcement that February 14, 2025, would be the record date for its dividend, shares of Hindustan Aeronautics Ltd. increased by more than 2%. After receiving permission from the AGM, the firm intends to pay dividends within 30 days. HAL’s impressive Q2FY25 earnings revealed a 22.4% year-over-year growth in profits.
Following the company’s announcement of the record date for its impending dividend, shares of Hindustan Aeronautics Ltd. (HAL) jumped more than 2 percent during intraday trading on Wednesday, February 5. Only stockholders who own HAL shares as of Friday, February 14, 2025, will be entitled to receive the dividend distribution, as the state-run defense equipment maker has designated that day as the record date.
According to the company’s regulatory filing, the dividend will be paid to qualified shareholders within 30 days of the Annual General Meeting’s (AGM) approval. On Wednesday, February 12, 2025, HAL’s board of directors will convene to review and approve the audited statements for the quarter and period ending December 31, 2024, at which point the dividend will be formally announced.
Dividend History and Stock Split:
With two dividends paid in 2024, HAL has demonstrated its consistency as a dividend payer. On February 20, 2024, the firm paid an interim dividend of 440 percent or ₹22 per share. On August 21, 2024, the company paid a final dividend of 260 percent, or ₹13 per share. This resulted in a 700 percent dividend distribution for FY24, or ₹35 per share.
To make the stock more accessible to investors, HAL divided its ₹10 equity shares into two ₹5 equity shares in September 2023. In March 2020, the firm paid its most significant dividend ever, which was ₹33.25 per share.
In the second quarter of FY25, HAL reported strong financial performance. The company’s consolidated net profit increased by 22.4 percent year over year to ₹1,510.49 crore from ₹1,236.67 crore in the same quarter the previous year. The company’s operating revenue increased from ₹5,635.70 crore in Q2FY24 to ₹5,976.29 crore, a 6% year-over-year increase.
At the operational level, HAL’s profits before interest, tax, depreciation, and amortization (EBITDA) increased to ₹1,640 crore from ₹1,527.7 crore in Q2FY24, with an annual growth of 7.3 percent. The EBITDA margin increased slightly from 27.1 percent the year before to 27.4 percent this year.
The company’s consistent financial development and operational expansion are demonstrated by its total assets, which were ₹86,529.75 crore at the end of September 2024 compared to ₹78,095.18 crore as of March 31, 2024.
The PSU stock reached a high of ₹3,830 for the day, up as much as 2.3 percent. It has increased by more than 27 percent in the last year. Still, it lost more than 4 percent in February, continuing its losses for the third consecutive month following declines of almost 6 percent in January and nearly 7 percent in December 2024.
