India’s Maharatna defence company Hindustan Aeronautics Ltd (HAL) has drawn up a capital expenditure plan of ₹14,000 crore over the next five years to expand manufacturing capacity and strengthen its maintenance, repair and overhaul (MRO) infrastructure.
The planned investment will primarily be directed towards expanding manufacturing facilities and establishing repair and overhaul capabilities for various aerospace platforms, supporting the company’s long-term growth strategy.
Growth roadmap
“HAL is intensifying efforts to expand its global footprint through exports and strategic collaborations with international partners,” Chairman & Managing Director K. Ravi said in a letter to shareholders.
“Emerging opportunities in areas such as unmanned systems, advanced materials, digital manufacturing and space applications are expected to open new growth avenues.
HAL is poised to sustain its growth trajectory and reinforce its position as a key enabler of India’s aerospace and defence capabilities while progressively enhancing its competitiveness in the global market,” he said.
Capacity expansion
During FY26, HAL incurred capital expenditure of ₹2,465 crore on key projects, including the Green Helicopter project at Tumakuru, augmentation of LCA manufacturing facilities, repair and overhaul facilities for the Su-30 aircraft and AL-31FP engine, IT infrastructure and replacement and rationalisation of existing facilities.
The company also invested in research and development programmes such as the Indian Multi-Role Helicopter (IMRH), Combat Air Teaming System (CATS), Utility Helicopter Marine (UHM), Civil ALH and Light Utility Helicopter (LUH).
Strong order book
As of March 2026, HAL’s order book stood at ₹2,54,538 crore.
During FY26, the company secured manufacturing contracts worth more than ₹69,600 crore and repair and overhaul contracts worth ₹17,300 crore.
Major orders included contracts for 97 LCA Mk1A fighter aircraft, six ALH MkIII MR helicopters and eight Do-228 aircraft for the Indian Armed Forces, 10 ALH Dhruv NG helicopters for Pawan Hans Ltd and two Hindustan-228 aircraft for Guyana.