HBL Engineering Ltd.

NSE: HBLENGINE · Other Industrial Products

52W Range₹613 ₹1,122

Snapshot

Unlock HBL Engineering Ltd.'s vital signs

Growth · Profitability · Valuation · Strength · Conviction

Company Overview

Business

HBL Engineering Limited is a diversified manufacturer specialising in industrial, defence, and aviation batteries alongside advanced electronic systems. The company provides critical infrastructure solutions including rail signalling, electronic fuzes, and electric drive trains to government and private sector clients.

Business Model

The company generates revenue through the design, manufacture, and sale of specialised battery technologies and electronic systems across industrial and defence applications. It serves a diverse client base including railway authorities, aviation firms, and EPC contractors.

  • Founded:1977
  • Headquarters:Hyderabad, India

Growth Outlook

Growth is driven by the expansion of rail signalling and collision avoidance systems, alongside increasing demand for specialised defence electronics and lithium battery technologies. The company is well-positioned to benefit from infrastructure modernisation and increased domestic defence spending.

Key Risks

  • Geopolitical and Defence Policy Risk. The company's reliance on defence contracts makes it vulnerable to shifts in government procurement policies and geopolitical stability.
  • Technological Obsolescence. Rapid advancements in battery chemistry and electronic signalling systems require continuous R&D investment to maintain market competitiveness.
  • Raw Material Price Volatility. Fluctuations in the costs of lead, nickel, and lithium can significantly impact manufacturing margins for battery segments.
  • Regulatory Compliance. Operating in the defence and rail sectors necessitates strict adherence to evolving safety and quality standards, which may increase operational costs.

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Key Metrics

REVENUE

₹3,339 Cr

TTM · consolidated

+63.0%YoY

NET PROFIT

₹781 Cr

TTM · consolidated

+129.6%YoY

EPS

₹28.18

TTM · consolidated

+165.8%YoY

RETURN ON EQUITY

42.2%

TTM · consolidated

+19.3 ppYoY

RETURN ON CAPITAL EMPLOYED

53.4%

TTM · consolidated

+23.5 ppYoY

P/E

24.7x

Q1 FY27 · consolidated

24.7 vs 128.3x5Y avg

EV/EBITDA

16.7x

Q1 FY27 · consolidated

16.7 vs 73.3x5Y avg

EBITDA MARGIN

33.8%

TTM · consolidated

+8.7 ppYoY

NET PROFIT MARGIN

17.1%

Q1 FY27 · consolidated

-6.7 ppYoY

DEBT TO EQUITY

0.0x

Q1 FY27 · consolidated

-0.02xYoY

Peers · Other Industrial Products

CompanyMkt CapP/EEV/EBITDARev Gr YoYEBITDA MgnROEROCE1Y Return
HBL Engineering Ltd.HBLENGINE
₹19,286 Cr24.6916.6763.0%33.8%42.2%53.4%-18.3%
INOX India Ltd.INOXINDIA
₹20,402 Cr80.0553.0119.9%23.8%25.6%34.0%+93.7%
KRN Heat Exchanger & Refrigeration Ltd.KRN
₹10,334 Cr101.8568.7564.0%20.7%18.1%24.2%+82.4%
ESAB India LimitedESABINDIA
₹9,340 Cr42.0831.2813.0%18.8%56.1%71.8%+18.0%
Subros LimitedSUBROS
₹4,629 Cr27.8412.8413.8%9.3%14.2%18.2%-22.0%
Harsha Engineers International LimitedHARSHA
₹4,137 Cr26.7415.7220.2%16.6%11.6%15.6%+12.2%

As of Q1 FY27

Financials