Hindustan Aeronautics Limited gets Maharatna status

Why in news?

• Recently, the Finance Ministry granted the status of Maharatna company to Hindustan Aeronautics Limited.
• Now the total number of Maharatna companies has become 14.

Hindustan Aeronautics Limited (HAL):

• It is a government-owned Indian aerospace and defence firm.
• It functions under the Indian Ministry of Defence.
• Founded - 23 December 1940
• Headquarters - Bangalore
• It is one of the oldest and largest aerospace and defence manufacturers in the world.
• It is primarily engaged in aerospace activities and is currently involved in the design, manufacture and production of aircraft, helicopters, jet engines and their replacement parts.

Maharatna, Navratna and Miniratna:

• Central Public Sector Enterprises (CPSEs) are classified into three categories based on their profit and net worth –
  1. Maharatna
  2. Navratna
  3. Miniratna
     • Miniratnas are classified into Miniratna Category-I and Miniratna Category-II.

Criteria for Maharatna status:

• Should already have Navratna status.
• Average annual profit for the last three years should be more than Rs 5,000 crore.
• Average annual net worth for the last three years should be more than Rs 15,000 crore.
• Average annual turnover for the last three years should be more than Rs 25,000 crore.
• Should have significant global presence/international operations.
• Should be listed on Indian stock exchange with minimum prescribed public shareholding under SEBI regulations.