National aerospace and defence company Hindustan Aeronautics Limited (HAL) announced that it recorded revenue in excess of Rs 22,700 crores (provisional and unaudited) for the 2020-21 financial year which ended on 31st March.

This “in spite of the Covid-19 pandemic that affected company’s operations and disrupted the supply chain (both within and outside the country),” the public sector undertaking said in a statement.

The corresponding figure for the previous year stood at Rs 21,438 crore. The company has posted revenue growth of around 6 percent in FY 2020-21 because of improved productivity after suspending the operations for one month at the beginning of the year.

The FY 2020-21 was significant in terms of securing the largest-ever defence contract of 83 LCA MK-IA by an Indian company. This helped the company surpass the order book position in excess of Rs 80,000 crore, said HAL's CMD R Madhavan. The record revenue was achieved with the help of the production of 41 new helicopters or aircraft, 102 new engines, the overhaul of 198 aircraft and helicopters and 506 engines.

The cash flow position has improved significantly with improved budget allocation from defence customers and it stands in excess of Rs 34,000 crore, including advance payment of around Rs 5,400 crore for 83 LCA MK1A contract. This helped HAL to liquidate all its borrowings availed from the banks. The company has ended the year with a positive cash balance of around Rs 6,700 crore as against borrowings of Rs 5,775 crore as on March 31.

HAL has taken various cost-cutting and austerity measures during the year that included indigenisation of various components, increasing outsourcing efforts and rationalisation of manpower which has helped the company in registering double-digit growth in Profit after Tax (PAT).