Hindustan Aeronautics (HAL) on Tuesday announced that it has placed an order of $716 million (Rs 5375 crores) for 99 F404-GE-IN20 engines with GE Aviation to power the Tejas Light Combat Aircraft.
Following the update, shares of HAL were up 3.14% at Rs 1,101.10 on BSE.Tejas aircraft is powered by F404-GE-IN20 engines and has been in service since 2004. HAL said ordering of the engines, marks a major milestone in the execution of 83 LCA contract with IAF. The co-operation will be further enhanced with the manufacturing of GE F414 engines in India for the upcoming LCA MkII program.
R. Madhavan, CMD of HAL said, "This is largest ever deal and the purchase order placed by HAL for LCA. The company is working closely with GE for its support to pursue the export potential of LCA and also to supply spares to the global supply chain of GE 404 engines."
The highest thrust variant of the F404 family, the F404-GE-IN20 incorporates GE's latest technologies as well as FADEC for reliable power and outstanding operational characteristics. The F404 family engines have logged in more than 14 million engine flight hours, and has powered 15 different production and prototype aircraft.
HAL is engaged in carrying out design, development, manufacture, repair and overhaul of aircraft, helicopter, engines and related systems like avionics, instruments and accessories primarily serving Indian defence programme. As of 30 June 2021, the Government of India held 75.15% stake in HAL.
On a consolidated basis, HAL posted a 31% rise in net profit to Rs 194.71 crore on a 7% decline in net sales to Rs 1,615 crore in Q1 FY22 over Q1 FY21.
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