Key Metrics of Hbl Engineering Limited
About Hbl Engineering Limited
Sectors
Company details
- Registered office
- 8-2-601 Road No 10, Banjara Hills, Hyderabad, In-ts, 500034
- Listed
- NSE: HBLENGINE · ₹769.85
Operational Areas of Hbl Engineering Limited
Company summary
Entity details
Compliance
Industry classification
Financials, ratios and risk analysis
Revenue, EBITDA, net profit, net worth, debt and assets for every filing year, 15+ ratios, the financial health score, shareholding, charges and peer comparison are part of the premium plan.
Sign in to continue See plans & pricingFiling compliance
Due dates follow the Companies Act: AGM within six months of the year end, AOC-4 within 30 days and MGT-7 within 60 days of the AGM. A filing made but not yet uploaded here shows as pending.
Vendor checks & payment capacity
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Credit ratings
PositiveUpgraded by CARE on 09 Oct 2026 (from A+)
Rating history
Rating actions
| Date | Agency | Action | Long term | Short term | Outlook | Rated amount | Rationale |
|---|---|---|---|---|---|---|---|
| 09 Oct 2026 | CARE | Upgraded (from A+) | AA- | A1+ | — | ₹995 Cr | View |
| 25 Feb 2026 | CARE | Reaffirmed | A+ | A1+ | Positive | ₹799 Cr | View |
| 10 Oct 2025 | CARE | Reaffirmed | A+ | A1+ | Positive | ₹1,178 Cr | View |
| 31 Mar 2025 | CARE | Reaffirmed | A+ | A1+ | Stable | ₹996 Cr | View |
| 03 Oct 2024 | CARE | Upgraded (from A) | A+ | A1+ | Stable | ₹621 Cr | View |
| 28 Aug 2023 | CARE | Reaffirmed | A | A1 | Positive | ₹772 Cr | View |
| 07 Oct 2022 | CARE | Revised (from A-) | A | A1 | Stable | ₹1,350 Cr | View |
| 06 Oct 2021 | CARE | Reaffirmed | A- | A2+ | Stable | ₹1,350 Cr | View |
| 05 Oct 2020 | CARE | Reaffirmed | A- | A2+ | Stable | ₹1,592 Cr | View |
| 26 Aug 2019 | CARE | Other | A- | A2+ | Stable | ₹1,003 Cr | View |
Credit strengths (CARE, Oct 2026)
+ Change in business profile marked by increasing contribution from railway electronics segment
HBL's business profile has undergone a gradual shift from being predominantly battery-focused to a more diversified engineering and technology company with an increasing contribution from the railway electronics segment. While industrial, defence and aviation batteries continue to provide a stable revenue base, the company has reduced its dependence on the telecom battery segment and increased its focus on higher-value businesses such as railway electronics, Ni-Cd batteries, defence batteries an
+ Significant improvement in scale and profitability driven by strong execution of railway electronics orders
In FY26, HBL reported a significant improvement in its operating performance, with TOI increasing by ~68% y-o-y to ₹3,326.41 crore from ₹1,977.63 crore in FY25. The growth was driven primarily by strong execution of railway electronics orders, particularly under the Kavach programme, which led to a sharp increase in Electronics segment revenue to ₹1,626.25 crore in FY26 from ₹298.38 crore in FY25. At the same time, the batteries business continued to provide a stable revenue base, with the Indus
+ Strong financial risk profile
HBL's financial risk profile strengthened further in FY26, supported by a substantial increase in profitability, strong cash accrual generation and continued low reliance on external borrowings. The company's capital structure remained comfortable, with ov erall gearing at 0.03x (FYE25: 0.05x). The improvement was primarily driven by healthy profit retention in FY26, resulting in adjusted net worth increasing to ₹2,069.32 crore as on March 31,2026 (PYE: ₹1,346.52 crore). With low reliance on wor
+ Investment in associate companies
HBL has strategic investments in associate companies operating in the defence and technology space, Tonbo Imaging India Limited and Naval Systems and Technologies Private Limited. As on March 31, 2026, the company's aggregate exposure to associates stood at approximately ₹86.71 crore. These investments continue to support HBL's long-term strategy of strengthening its presence in defence electronics, advanced imaging and naval technologies. While exposure remains moderate relative to the
+ Experienced promoters
HBL was promoted by Dr A J Prasad in 1986. Over time, Dr A J Prasad gained substantial experience in the company’s business and has undertaken extensive research in battery and related segments. He has been associated with the industry for over three decades. He and Kavita Prasad (daughter) Director, and a team of experienced professionals, manage the company’s day-to-day operations. HBL has been a well-known name in industrial batteries manufacturing industry. The company also has established a
+ Liquidity: Strong
HBL continues to maintain a strong liquidity profile supported by healthy cash accruals, healthy operating cash flow generation and low leverage. Gross cash accruals improved significantly to ₹858.86 crore in FY26, while cash and liquid investments increased to ₹570.25 crore as on March 31, 2026. Against the negligible scheduled debt repayment obligation for FY27. Average utilisation 3 CARE Ratings Ltd. Press Release
Credit challenges
− Risk associated with customer-led execution delays in Kavach orders
A key risk for HBL stems from its increasing reliance on Kavach orders, where execution is contingent on timely availability of locomotives at railway sheds for installation and commissioning. While HBL has limited control over customer-side scheduling, delays in locomotive availability can materially affect project execution timelines and defer revenue recognition. Risk is heightened by the time-bound nature of locomotive Kavach contracts. In the event of prolonged delays in locomotive
− Working capital intensive business
HBL operates in a working capital intensive business owing to the long execution cycle of railway and defence projects, requirement to maintain inventories of specialis ed components and procurement of certain critical raw materials well in advance of execution. The company sources a majority its raw materials domestically while also relying on imports for select components, resulting in relatively high inventory levels. Despite inherently working capital intensive operations, operating cycle im
− Potential risk associated with lead-recycling operations
Lead is a substance recognised for its high toxicity and environmental impact, serves as the fundamental raw material in batt ery production. Enterprises involved in this industry are compelled to adhere to stringent pollution control regulations. As
Could lead to an upgrade
• Improved total operating income (TOI) over and above ₹4500 crore and its profit before interest, lease rentals, depreciation, and taxation (PBILDT) margin at current levels, while maintaining a healthy financial risk profile.
Could lead to a downgrade
• Large debt-funded capex or acquisition impacting credit metrics, specifically debt to earnings before interest, taxation, depreciation, and amortisation (EBIDTA) exceeding 1x. • Significant decline in TOI and profitability on a sustained basis.
Agency-reported financials (CARE, 09 Oct 2026)
| Metric | March 31, 2025 | March 31, 2026 | Q1FY27 |
|---|---|---|---|
| Total operating income | ₹1,978 Cr | ₹3,326 Cr | ₹659 Cr |
| PBILDT* | ₹403 Cr | ₹1,137 Cr | ₹167 Cr |
| Profit after tax (PAT) | ₹276 Cr | ₹815 Cr | ₹111 Cr |
| Overall gearing (x) | 0.05× | 0.03× | — |
| Interest coverage (x) | 30.97× | 77.38× | 30.92× |
| Revenue growth (YoY) | — | 68.2% | — |
| PAT margin | 14.0% | 24.5% | 16.8% |
Borrowings & rated debt
Rated limits over time
Facility mix
Rated facilities
| Facility | Type | Previous | Current | Change | Rating | Action | Agency |
|---|---|---|---|---|---|---|---|
| Long-term bank facilities | Working capital & bank lines | — | ₹149 Cr | — | AA- | Upgraded | CARE |
| Short-term bank facilities | Working capital & bank lines | — | ₹846 Cr | — | A1+ | Reaffirmed | CARE |
CARE ratings on record (checked 23 Oct 2026)
| Instrument | Amount | Rating |
|---|---|---|
| BG/LC | — | Withdrawn |
| BG/LC | ₹751 Cr | CARE A1+ |
| Bill Discounting/ Bills Purchasing | — | Withdrawn |
| Cash Credit | ₹149 Cr | CARE AA-; Stable |
| Factoring/ Forfeiting | ₹95.0 Cr | CARE A1+ |
| Foreign Bill Discounting | — | Withdrawn |
| Term Loan | — | Withdrawn |
| Working Capital Limits | — | Withdrawn |
Lenders
| Fund-based - LT | Cash Credit | Axis Bank Ltd. |
| Fund-based - LT | Cash Credit | ICICI Bank Ltd. |
| Fund-based - LT | Cash Credit | State Bank of India |
| Fund-based - ST | Factoring/ Forfeiting | Axis Bank Ltd. |
| Fund-based - ST | Factoring/ Forfeiting | ICICI Bank Ltd. |
| Fund-based - ST | Factoring/ Forfeiting | Proposed |
| Non-fund-based - ST | BG/LC | Axis Bank Ltd. |
| Non-fund-based - ST | BG/LC | ICICI Bank Ltd. |
| Non-fund-based - ST | BG/LC | Proposed |
| Non-fund-based - ST | BG/LC | State Bank of India |
| Non-fund-based - ST | BG/LC | Yes Bank Ltd. |
Credit assessment · Manufacturing
Rating Methodology – Manufacturing Companies (Mar 2025) · Standalone accounts · FY 2025-26
Ratios, pillar scores and the indicative rating are part of Premium.
Rating status
| Default | No default on record |
| Issuer cooperation | Cooperating |
| Credit enhancement | None – standalone rating |
| Next action stable or better (model) | 52% |
| Information on file | 78% · missing: Capex / investment plans, Auditor details |
Indicative assessment from public data using the published methodology factors; not a credit rating.
Borrowing & funding lifecycle
- Credit outlook model: 52% chance the next rating action is stable or better
- Current rating AA- (investment grade)
- Interest coverage 30.92×
Rated limits by facility
Timeline
From the report
With low reliance on working capital limits and gradual repayment of term loans resulting in low debt levels, despite ongoing investments towards capacity expansion and diversification initiatives.
From the report
Gross cash accruals improved significantly to ₹858.86 crore in FY26, while cash and liquid investments increased to ₹570.25 crore as on March 31, 2026.
From the report
With low reliance on working capital limits and gradual repayment of term loans resulting in low debt levels.
From the report
In FY25, HBL availed working capital limits of ₹375 crore, overdraft (OD)/working capital demand loan (WCDL) limit of ₹350 crore and letter of credit (LC) of ₹25 crore to execute the specific order secured from railways and these specific order limits have been surrendered by end of December 2025.
From the report
Liquidity: Strong The company’s liquidity position is strong, supported by strong cash accruals of ₹322.71 crore in FY25 against a scheduled repayment obligation of ₹22.27 crore (including short term lease liabilities of ₹4.93 crore) for FY26.
From the report
Liquidity: Strong The company’s liquidity position is strong, supported by strong cash accruals of ₹322.71 crore in FY25 against a scheduled repayment obligation of ₹22.27 crore (including short term lease liabilities of ₹4.93 crore) for FY26.
From the report
With low reliance on working capital limits and gradual repayment of term loans resulting in low debt levels.
From the report
In FY25, HBL availed working capital limits of ₹375 crore, overdraft (OD)/working capital demand loan (WCDL) limit of ₹350 crore and LC of ₹25 crore to execute the specific order secured from railways.
From the report
Liquidity: Strong The company’s liquidity position is strong, supported by strong cash accruals of ₹322.71 crore in FY25 against a scheduled repayment obligation of ₹22.27 crore (including short term lease liabilities of Rs.4.93 crore) for FY26.
From the report
Liquidity: Strong The company’s liquidity position is strong, supported by strong cash accruals of ₹322.71 crore in FY25 against a scheduled repayment obligation of ₹22.27 crore (including short term lease liabilities of Rs.4.93 crore) for FY26.
From the report
To execute this order, HBL has availed order-specific working capital limits amounting to ₹375 crore.
From the report
With low reliance on working capital limits and with prepaymentof term loans ~₹50 crore resulting in low debt levels.
From the report
Liquidity: Strong The company’s liquidity position is strong, supported by strong cash accruals of ₹321.45 crore in FY24 against a scheduled repayment obligation of ₹20.79 crore for FY25.
From the report
Liquidity: Strong The company’s liquidity position is strong, supported by strong cash accruals of ₹321.45 crore in FY24 against a scheduled repayment obligation of ₹20.79 crore for FY25.
From the report
With low reliance on working capital limits and with prepayment of term loans ~₹50 crore resulting in low debt levels.
From the report
The company’s liquidity position is strong, supported by strong cash accruals of ₹321.45 crore in FY24 as against a scheduled repayment obligation of ₹20.79 crore for FY25.
From the report
The company’s liquidity position is strong, supported by strong cash accruals of ₹321.45 crore in FY24 as against a scheduled repayment obligation of ₹20.79 crore for FY25.
From the report
Liquidity: Adequate The liquidity position of the company is adequate with sufficient cash accruals of ₹160 crore projected during FY24 as against a scheduled repayment obligation of around ₹12 crore during the year.
From the report
Liquidity: Adequate The liquidity position of the company is adequate with sufficient cash accruals of ₹160 crore projected during FY24 as against a scheduled repayment obligation of around ₹12 crore during the year.
From the report
The liquidity is further supported byun-utilised fund-based working capital lines, cash and bank balance of around ₹140 crore, healthy current ratio of 2.7x coupled positive cash flows from operations as on March 31, 2023.
From the report
Liquidity analysis – Strong Liquidity is marked by strong accruals with cash and bank balance in the form liquid investments to the tune of Rs.38.16 crore as on March 31, 2022.
From the report
Liquidity: Strong Liquidity is marked by strong accruals with cash and bank balance in the form liquid investments to the tune of Rs.67.36 crore as on March 31, 2021.
From the report
The company has an average utilization of around 39% for the past twelve months period ended August 2020 and is supported by an above unity current ratio.
From the report
Further, the company had moderate cash & bank balance of Rs.35.72 crore as on March 31, 2020.
From the report
The company has an average utilization of 52%for the last 12 months ended June 2019.
From the report
Further, the company had moderate cash & bank balance of Rs.30.63 crore as on March 31, 2019.
Lender names, bank charges and audited borrowings are part of Premium.
Built from MCA charges, ICRA/CARE rating reports and audited accounts. The borrowing view is an estimate, not a lender's credit decision.
Registered office and contact
Directors and key people
Directors are read from the MGT-7 annual return and AOC-4 signatories.
Competitors of Hbl Engineering Limited
Top competitors by location
| Company | Description | Domain | Founded | Location |
|---|---|---|---|---|
 Larsen & Toubro |
Capital Goods & Power Equipment · Heavy Engineering & Capital Goods | larsentoubro.com | 1938 | Mumbai, India |
 Thermax |
Capital Goods & Power Equipment · Heavy Engineering & Capital Goods | thermaxglobal.com | 1980 | Pune, India |
| LENSKART SOLUTIONS LIMITED | Machine Tools & Industrial Machinery · Heavy Engineering & Capital Goods | — | — | New Delhi, Delhi, India |
 Blue Dart Express |
Outlets operated by Blue Dart Express. | bluedart.com | 1983 | Mumbai, India |
| H.G. INFRA ENGINEERING LIMITED (PART IX) | Machine Tools & Industrial Machinery · Heavy Engineering & Capital Goods | — | — | Jodhpur, Rajasthan, India |
| TENNECO CLEAN AIR INDIA LIMITED | Machine Tools & Industrial Machinery · Heavy Engineering & Capital Goods | — | — | Tamil Nadu, India |
 Kirloskar Brothers |
Capital Goods & Power Equipment · Heavy Engineering & Capital Goods | kirloskarpumps.com | 1888 | Pune, India |
 SANSERA ENGINEERING LIMITED |
Machine Tools & Industrial Machinery · Heavy Engineering & Capital Goods | sansera.in | — | Bangalore, Karnataka, India |
 Action Construction Equipment Limited |
Fertilisers, Seeds & Crop Protection · Agriculture & Agri-Inputs | ace-cranes.com | 2009 | Palwal, India |
| BAJEL PROJECTS LIMITED | Machine Tools & Industrial Machinery · Heavy Engineering & Capital Goods | — | — | Mumbai, Maharashtra, India |
Similar companies
Charges (secured borrowings)
0 registered charges. Lenders, amounts and dates are part of the premium plan.
Statutory auditors
Auditors are read from the AOC-4 auditor's report section.
Business activities and related parties
Principal business activities and related-party transactions are read from MGT-7 and AOC-4 filings.
Filings
No filings on record yet.