Bengaluru: The CARE Ratings Limited has upgraded the present HAL Long Term ratings from ‘CARE AA+ Outlook Stable’ to ‘CARE ‘AAA Outlook Stable’. HAL’s short term rating has remained the same as A1+.
This is done on the basis of recent developments including operational and financial performance of HAL for FY 2021 (Audited) and Q1 FY22 (Unaudited).
The financial year 2020-21 was significant for HAL in terms of securing the largest ever defence contract of 83 LCA MK-IA for the Indian Air Force. This helped the company surpass the order book position in excess of Rs 80,000 crores. HAL has taken various cost cutting and austerity measures that include indigenization of various components, increasing outsourcing efforts and rationalization of manpower.