HAL has retained its 38th ranking among the top 100 global aerospace companies.

[SpArK]

HAL among top 100 global aerospace companies: PwC survey​

NEW DELHI: India's state-owned Hindustan Aeronautics Limited (HAL) has retained its 38th ranking among the top 100 global aerospace companies, with Boeing leapfrogging European defence behemoth EADS to reclaim its position as the biggest aerospace manufacturer, says a new survey.

HAL retained the spot in 2009 that it had occupied the previous year, says the survey, 'Top 100 special report - Year of living Dangerously', by PricewaterhouseCoopers in association with Flight International magazine.

HAL has also maintained its position among the top five aerospace manufacturing companies in terms of profit margin which is at a healthy 23 percent. The local currency sales growth for HAL is 10 percent with total sales revenue for 2009 at $2.34 billion (Rs.106 billion), the survey says.

India, along with China, the US, Russia and Mexico were among the top five recipients of foreign direct investment in the aerospace and defence industry.

Commenting on the survey, Dhiraj Mathur, India leader for aerospace and defence at PricewaterhouseCoopers, said: "The industry needs to focus on developing economies such as India which are likely to provide growth along with cost optimisation opportunities in IT/ITeS services, R&D and manufacturing notwithstanding initial regulatory challenges."

"Globalisation will be the future mantra for success in this industry and the companies which adapt and customise their offering to the unique needs of the global customer will achieve success," he added.

The survey is based on company returns for the previous financial year. It shows a 17.3 percent decrease in collective profits following five years of growth. Sales show a moderate growth of 0.6 percent on the previous year, but this is also a much smaller rate compared to 7.1 percent in 2008 and 13 percent in 2007.

Overall, according to the survey, 2009 saw stable revenue and growth, but sharply declining profits in the aerospace and defence industry.

Boeing regained its number one ranking as rising sales of its commercial and military aircraft coincided with declines in both areas for its European rivals.

Boeing delivered 481 aircraft in 2009, which was a steep increase from the 375 that it delivered in 2008 and its defence, space and security division generated some $10bn more revenue than EADS' equivalent businesses, the survey says.

In 2008, foreign direct investment by the top 50 global aerospace and defence companies climbed to a record. While the search for low-cost manufacturing remains an important motivation, research and development investments have increased significantly, including the hiring of talent in engineering and other critical areas.

Total sales for the Top 100 in 2009 were $558 billion, with North American companies accounting for 63 percent of this - $352 billion - and 49 percent of the Top 100 companies by number.

European companies make up 38 percent of the Top 100 by number and brought in $177 billion worth of sales. The rest of the world is still considerably behind these two regions with combined sales of only $29 billion, representing only five percent of the total, the survey states.

HAL among top 100 global aerospace companies: PwC survey - The Economic Times

 

[Imran Khan]

ì search google only get this news and news link from india can some one give me the list please

 

[prototype]

survey is done by price water house coopers,just an Indian source showing it does not means the survey was baseless

 

[SpArK]

ì search google only get this news and news link from india can some one give me the list please

Here is the Pdf document of the whole list and the full report from the original Pricewatercoopers site.. Enjoy.



http://www.pwc.com/gx/en/aerospace-defence/pdf/top100-final.pdf

 

[Imran Khan]

survey is done by price water house coopers,just an Indian source showing it does not means the survey was baseless

i ask the list sir i never found any thing else then this news all over indian media . but its not mean its fake or someting but i wanna see top 100s list only . congs to hal

 

[Markus]

2.34 billion USD is too less for a premier aerospace company which belongs to country having the 4th biggest air force in the world.

HAL must expand its assembly lines and increase the local production of the MKI's, more assembly lines should also be added for MMRCA and PAk-FA.

 

[desiman]

2.34 billion USD is too less for a premier aerospace company which belongs to country having the 4th biggest air force in the world.

HAL must expand its assembly lines and increase the local production of the MKI's, more assembly lines should also be added for MMRCA and PAk-FA.

It takes time to do that, HAL will surely grow bigger as times passes on. For its size and function, HAL has done a credible job.

 

[Markus]

It takes time to do that, HAL will surely grow bigger as times passes on. For its size and function, HAL has done a credible job.

Well, established in 1940 and in full aerospace role since 1964, all I can say is that too little is being done and that too slow.

HAL needs to spend more on R&D and come up with new products, increase its exports and earn foreign revenue.

DRDO should be busted out of aerospace research.

 

[desiman]

Well, established in 1940 and in full aerospace role since 1964, all I can say is that too little is being done and that too slow.

HAL needs to spend more on R&D and come up with new products, increase its exports and earn foreign revenue.

DRDO should be busted out of aerospace research.

HAL's business vision does not follow on the same lines of bigger companies like Textron or LM, it has a small market and limited goals. Yes it was established long ago but keep in mind the limitations it has faced. Only now when the Indian economy grows and HAL can actually spread its wing, we can see good growth in the organization. The defense market is a very hostile and tough one and companies in this sector do not grow overnight. Spending more on R&D is not the solution but improving delivery times and the quality of the product is. Give HAL sometime. In regards to the DRDO, they are an essential commodity to India's needs, dont write them off just like that.

 

[Storm Force]

I think HAL is growing rapidley and its nice to ram this fact down the throats of those who claim india,s indegiuous Space and aero industry to be rubbish.

There are lot of jealous and envious people out there who talk rubbish

 

[Markus]

HAL's business vision does not follow on the same lines of bigger companies like Textron or LM, it has a small market and limited goals. Yes it was established long ago but keep in mind the limitations it has faced. Only now when the Indian economy grows and HAL can actually spread its wing, we can see good growth in the organization. The defense market is a very hostile and tough one and companies in this sector do not grow overnight. Spending more on R&D is not the solution but improving delivery times and the quality of the product is. Give HAL sometime. In regards to the DRDO, they are an essential commodity to India's needs, dont write them off just like that.

I would say its incorrect to compare Textron and LM with HAL, those are listed and private giants. Even if we do compare, you will observe that the biggest difference is that Textron and LM are heavy duty R&D companies while HAL is mostly just an assembler of aerospace products. Whatever its is manufacturing is foreign tech which has come via ToT and licensed producing.

4 decades is more than enough to settle down in the industry. Its clear that HAL's utilization is not proper right after shutting down of HF-24 Marut production lines.

If you innovate and come up with your own products, you can sell them and earn money, this is what the biggest aerospace cos. do.
Thsi is even more important for HAL since its not a listed company, it has to survive only on government money, then how does it expand?

I am not writing off DRDO, certainly not, just that demarcation of responsibility should be done.

HAL/NAL can take care of aerospace research while DRDO can take care of land/naval research.

 

[Imran Khan]

damn i check pdf file of ranking were the hell on earth CAC is not even in top 100 why?

 

[desiman]

damn i check pdf file of ranking were the hell on earth CAC is not even in top 100 why?

which CAC are you referring too ?

 

[desiman]

I would say its incorrect to compare Textron and LM with HAL, those are listed and private giants. Even if we do compare, you will observe that the biggest difference is that Textron and LM are heavy duty R&D companies while HAL is mostly just an assembler of aerospace products. Whatever its is manufacturing is foreign tech which has come via ToT and licensed producing.

4 decades is more than enough to settle down in the industry. Its clear that HAL's utilization is not proper right after shutting down of HF-24 Marut production lines.

If you innovate and come up with your own products, you can sell them and earn money, this is what the biggest aerospace cos. do.
Thsi is even more important for HAL since its not a listed company, it has to survive only on government money, then how does it expand?

I am not writing off DRDO, certainly not, just that demarcation of responsibility should be done.

HAL/NAL can take care of aerospace research while DRDO can take care of land/naval research.

Comparison of HAL and LM is correct in the context that both are in the same industry and are out to target the same markets in general. From what I know, HAL has not grown bigger mainly because of the lack of a domestic market. LM and Textron have huge domestic markets and use that as a base for further research and sales. Until recently India has preferred getting all equipment foreign made and domestic production has been relatively less. But as the trends have changed in the past decade we have seen significant growth in the sector. HAL has historically been used as an assembling plant until recently when its corporate goals were shifted to more R & D oriented. Again it needs time to mature in the new India, already it is giving out very positive signals and its future looks very secure. HAL can do very well just on government money as huge orders are expected with the Indian armed forces growing so rapidly. That will give it a good base to target other countries and outside sales. One step at a time as they say.

In regards to the DRDO, it has made India proud at many times. The DRDO is mainly a research entity that follows the orders of the armed forces and focuses on the areas that need to be addressed. Without the DRDO even the HAL will face a lot of problems. HAL gets a lot of representation in the government because of the DRDO, so both need to work hand in hand. Research is going at a good pace, nothing to worry about.

 

[Markus]

Comparison of HAL and LM is correct in the context that both are in the same industry and are out to target the same markets in general. From what I know, HAL has not grown bigger mainly because of the lack of a domestic market. LM and Textron have huge domestic markets and use that as a base for further research and sales. Until recently India has preferred getting all equipment foreign made and domestic production has been relatively less. But as the trends have changed in the past decade we have seen significant growth in the sector. HAL has historically been used as an assembling plant until recently when its corporate goals were shifted to more R & D oriented. Again it needs time to mature in the new India, already it is giving out very positive signals and its future looks very secure. HAL can do very well just on government money as huge orders are expected with the Indian armed forces growing so rapidly. That will give it a good base to target other countries and outside sales. One step at a time as they say.

In regards to the DRDO, it has made India proud at many times. The DRDO is mainly a research entity that follows the orders of the armed forces and focuses on the areas that need to be addressed. Without the DRDO even the HAL will face a lot of problems. HAL gets a lot of representation in the government because of the DRDO, so both need to work hand in hand. Research is going at a good pace, nothing to worry about.

I will agree with some parts of what u say, but the fact is that the legacy of HF-24 Marut should have been carried forward and secondly the very fact that LM and Boeing and others are listed cos directly makes them incomparable to HAL which has no other revenue generation method except living off the government.

Its true that LM has a huge domestic market but even HAL has a domestic market, infact most of the sales of HAL are from domestic sales only, exports are paltry.

DRDO has certainly made us proud on many occasions but just as it does research, it wont be wrong for HAL to increase its R&D spendings. But again, as you said huge orders expected from IAF, this is what is limiting HAL, they need to go out of the way, create their own products and showcase them to the whole world and not just to the IAF. As of now, they are just surviving on what they get, hardly any proactive-ness.

HAL management must make an effort in this direction. If they do, I am certain they will be in the top 25 very soon.