Press Information Bureau
Government of India
Ministry of Defence

18-April-2012 16:51 IST

Hindustan Aeronautics Limited (HAL), a Navratna Defence PSU, has handed over the Second Interim Dividend cheque for Rs.699.50 crore to the Government. The cheque was handed over to the Defence Minister Shri AK Antony by Shri R.K. Tyagi, Chairman HAL along with Dr. A.K. Mishra, Director (Finance) here today. Shri ShekharAgarwal, Secretary (Defence Production) and Shri ManojSaunik, Joint Secretary (Aero) were also present on this occasion. This is in addition to the first Interim Dividend of Rs.48.20 crore paid in January 2012.

Total Interim Dividend paid so far in 2011-12 worked out to Rs.747.70 crore, excluding dividend tax of Rs.121.30 crore, which is 620 % on the Paid Up Capital of the Company. With this payment of Interim Dividend, HAL has joined the group of top dividend paying Navratna/Maharatna PSU’s.

The Company achieved highest ever Turnover of Rs.14,001crore, and Profit Before Tax of Rs.3,200 crore in 2011-12.

HAL is currently engaged in Production of SU-30 MKI, Advanced Jet Trainer (HAWK), Dornier-228, Advanced Light Helicopter (Dhruv), Cheetah & Limited Series Production of IJT & LCA.

The Company has incurred expenditure of Rs.945 crore on R & D & Rs.425 crore on modernization in 2011-12.The major Design & Development Programmes being pursued by the Company are - Intermediate Jet Trainer (IJT), Light Combat Aircraft (LCA), Basic Trainer- HTT-40, Light Combat Helicopter (LCH), Light Utility Helicopter (LUH) besides Co-development of Fifth Generation Fighter Aircraft (FGFA) and Multi Role Transport Aircraft (MTA) in collaboration with the Russians.

PK/NN

Interim dividend payment by a defence PSU to the government signals significant distributable surplus and dividend policy implications. Interim dividend payment by Hindustan Aeronautics Limited (HAL) to the Government comprised a second interim cheque and, with an earlier payment, total interim distributions for 2011-12 amounted to a substantial aggregate and a significant percentage of paid-up capital, excluding dividend tax. The distribution reflects HAL's strong financial performance for 2011-12 and coexists with notable R&D and modernization expenditures and ongoing defence design and production programmes.