HAL clarifies 5 LCA Mk1A jets ready for delivery; stock recovers 3% from day’s low

Hindustan Aeronautics (HAL) shares witnessed a recovery from day’s lows on Thursday after the defence major issued a clarification regarding the delivery timeline of the Tejas LCA Mk1A aircraft. The company said  that five jets are currently "fully ready for delivery," amid media reports regarding potential delays.

The HAL stock trimmed its losses. At 12:59 pm, HAL shares were trading at Rs 4066.70 apiece on the BSE, down 3.56 per cent. Despite being in the red, the counter marked a recovery of 2.9 per cent from the day’s low of Rs 3952. The stock had closed at Rs 4216.95 in the previous trading session.

In a regulatory filing on Thursday, the aerospace giant confirmed that the five ready aircraft incorporate major contracted capabilities in accordance with the agreed specifications.

An additional nine aircraft have already been built and flown, the company said. HAL noted that upon receipt of engines from GE, these aircraft will be made ready for delivery.

HAL said that it has received five engines from GE as on date. “The supply position from GE is positive, and the future delivery outlook aligns with HAL's delivery plans,” the company said.

HAL said that all design and development issues identified are being addressed in an
expedited manner.

“HAL is in active discussions with the Indian Air Force to deliver the aircraft at the earliest,” the company added.