Aerospace & Defense
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Updated on 10 Nov 2025, 02:20 am
Reviewed By
Satyam Jha | Whalesbook News Team
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Hindustan Aeronautics Limited (HAL) has entered into a crucial agreement with General Electric Company, USA, for the supply of 113 F404-GE-IN20 engines and a comprehensive support package. This deal is vital for the execution of the 97 Light Combat Aircraft (LCA) Mk1A program. The contract for the 97 LCA Mk1A aircraft was finalized in September 2025, with engine deliveries scheduled between 2027 and 2032.
Furthermore, HAL's board of directors is set to convene on November 12, 2025, to consider and approve the audited financial results for the quarter and period ending September 30, 2025.
Recent developments also highlight HAL's expanding capabilities and strategic partnerships. On October 27, the company signed a Memorandum of Understanding (MoU) with Public Joint Stock Company United Aircraft Corporation (PJSC-UAC) of Russia for the production of the civil commuter aircraft SJ-100. Additionally, on October 17, HAL inaugurated its third production line for the LCA Tejas Mk1A and the second production line for the Hindustan Turbo Trainer-40 (HTT-40) at its Nashik facility.
Impact: This engine supply agreement with General Electric is a significant positive development for HAL, ensuring the necessary components for its flagship LCA Mk1A program. It enhances HAL's production capacity and revenue visibility, reinforcing its position in the aerospace and defense sector. The deal with a major global player like GE also boosts investor confidence. The ongoing expansion of production lines indicates strong growth potential. Rating: 8/10
Difficult Terms: LCA Mk1A: Light Combat Aircraft Mark 1A, an advanced variant of India's indigenously developed fighter jet. F404-GE-IN20 engines: A specific model of jet engine manufactured by General Electric, designed for light combat aircraft. MoU: Memorandum of Understanding, a preliminary agreement between parties. PJSC-UAC: Public Joint Stock Company United Aircraft Corporation, a Russian aerospace and defense holding company. HTT-40: Hindustan Turbo Trainer-40, a basic trainer aircraft developed by HAL. Market Capitalisation: The total market value of a company's outstanding shares.