Stocks of Defence firms rise
On Friday, the stocks of leading Indian Defence companies saw a massive rise after the Centre announced that annual Defence production hit a record high of nearly Rs.1.27 lakh crore in the financial year 2023-24.
The highest-ever growth in Indigenous Defence production in value terms during FY24, achieved by the Ministry of Defence attributed to the successful implementation of the policies and initiatives led by Prime Minister Narendra Modi, focussing on achieving ‘Aatmanirbharta’.
The rise in production reflects a growth of 16.7 percent over Defence production of the previous financial year.
Of the total value of production (VoP) in 2023-24, about 79.2 percent has been contributed by Defence Public Sector Undertakings (DPSUs)/ other PSUs and 20.8 percent by the private sector.
Stocks that surged
- Bharat Earth Movers Limited (BEML) stock soared by 9.16 per cent
- Bharat Dynamics Limited (BDL) climbed by 2.80 per cent
- Mazagon Dock saw a gain of 1.21 percent
- Hindustan Aeronautics Limited (HAL) surged by 0.56 percent
- Cochin Shipyard rallied 5.41 percent.
In the last five years (since 2019-20), the value of Defence production has been increasing steadily and has grown by over 60 percent.
Earlier, in FY 2023-24, Defence exports touched a record-high of Rs.21,083 crore, reflecting a growth of 32.5 percent over the last fiscal when the figure was Rs.15,920 crore.
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