- 16 Nov 2022
- ICICIdirect Research
HAL receives letter of intent from Indian Coast Guard for nine more advanced light helicopters
HAL - 4680 Change: 78.00 (1.69 %)News:
HAL has handed over the last of the 16 advanced light helicopters (ALH) MkIII to the Indian Coast Guard (ICG). In March 2017, HAL had signed a contract worth around Rs 5126 crore for supply of 16 ALHs to ICG. With this final delivery, ICG has issued a letter of intent (LoI) to HAL for nine more ALH MkIII
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We expect HAL to receive this contract of nine more ALHs in the next six months as ICG has only signed an LoI. With the new Tumkur (Karnataka) facility expected to get commissioned in Q3FY23, HAL will have capacity to produce 60 helicopters per year, which can be ALH, light combat helicopters (LCH ) or light utility helicopters (LUH ). HAL has an order book of Rs 83858 crore as of September 2022 (3.2x TTM revenues) and order pipeline of Rs 50000 crore for the next 1-1.5 years (which would include this order and other helicopter orders like 25 ALHs for Army and six LUH each for the IAF & Army
Impact:
Positive