HMT Limited, formerly known as Hindustan Machine Tools Limited, represents one of India's most significant manufacturing success stories. Incorporated in February 1953 by the Government of India as a Machine Tool Manufacturing Company, it has evolved into a prominent state-owned electronics company under the control of the Ministry of Heavy Industries. The company has established itself as a comprehensive manufacturing enterprise that serves diverse industrial sectors across India and internationally.
The organization operates through multiple business divisions including machine tools, food processing machinery, and watches. HMT Machine Tools Limited and HMT (International) Limited function as subsidiaries, while the businesses of Food Processing Machinery and Watches are directly managed by the Holding Company. HMT Machine Tools, in addition to general purpose and multipurpose CNC Machine Tools, has been providing a host of special purpose and specific technology machines to meet the requirements of strategic sectors like Defence, Railways, Nuclear, Space, Aerospace, Naval, and Auto.
HMT's journey reflects India's industrial development aspirations. In Pandit Nehru's words, this establishment was revered as one of the 'Temples of Modern India'. The company's manufacturing capabilities have evolved to include sophisticated precision engineering and technology absorption from international collaborations.
The watch-making division, HMT Watches, opened in 1961. During the 1970s and 1980s, HMT was the largest supplier of wristwatches in India, with popular styles including Janata and Pilot. The first batch of mechanical (hand wound) wristwatches manufactured here was released by the then Prime Minister of India, Jawaharlal Nehru. The most popular mechanical watch was HMT Janata.
As of the latest available data (23rd June 2025), HMT Ltd has a market capitalization of ₹7,926.54 crore. The stock's performance shows volatility, with a 52-week high of ₹105 and a 52-week low of ₹45. The company's valuation metrics include a P/E (price-to-earnings) ratio of 3.11 and a P/B (price-to-book) ratio of -4.52.
The company's financial performance has been challenging in recent quarters. On a consolidated basis, HMT Ltd reported a loss of Rs -51.28 crore on a total income of Rs 40.51 crore for the quarter ended December 2024. However, for the full year ended 2024, HMT Ltd had posted a profit of Rs 2,550.76 crore on a total income of Rs 163.39 crore.
- Market Capitalization: ₹7,926.54 Crore (as of 23rd June 2025)
- 52-Week High: ₹105
- 52-Week Low: ₹45
- P/E Ratio: 3.11
- P/B Ratio: -4.52
- Q3 FY2024-25 (Dec 2024) Performance:
- Net Loss: ₹51.28 crore
- Sales: ₹29.19 crore (declined 9.52% YoY)
- Q2 FY2024-25 (Sept 2024) Performance:
- Sales: ₹41.59 crore (rose 14.83% YoY)
- FY2023-24 Performance:
- Profit: ₹2,550.76 crore
- Total Income: ₹163.39 crore
- Debt Status: Debt-free
The Company, headquartered at Bengaluru, has manufacturing Units at Bengaluru, Pinjore, Kalamassery, Hyderabad (two units), and Ajmer. HMT's manufacturing expertise spans across various product categories including precision machine tools, food processing equipment, and specialized machinery for strategic sectors.
The HMT Food Processing Machinery Division, located at Aurangabad, Maharashtra, manufactures a wide variety of Dairy Machines including Pasteurizers, Homogenizers, Cream Separators, Continuous Butter Making Machines, Centrifugal Pumps, Plate Heat Exchangers for dairy & non-dairy applications, Oil Purification and Clarification systems, Milk / Oil Separators, Chillers / IPHE etc. FPA also undertakes the setting up of Dairy Plants on a Turnkey basis.
The company has undergone significant restructuring in recent years. The watch division, HMT Watches, closed in 2016, largely due to mismanagement leading to heavy losses. In the same year, the Government of India also shut down HMT Chinar Watches Ltd., HMT Bearings, and HMT Tractors. Despite these closures, the machine tools divisions of HMT in Bangalore, Hyderabad, and Kochi (Kalamassery) are still operational and cater to industrial and defense sectors in India and abroad.
Over the last 5 years, HMT Limited has shown notable revenue growth at a yearly rate of 41.68%, significantly outperforming the industry average of 11.19%. During the same period, its market share increased from 0.75% to 2.25%, demonstrating improved market positioning.
The company maintains a strong balance sheet position, being debt-free, which enables it to report stable earnings growth across business cycles. However, operational challenges remain evident with an annual revenue de-growth of -16%, a pre-tax margin of -81%, and a return on equity (ROE) of -145%, all indicating areas needing significant improvement.
HMT Ltd (HMT) belongs to the Industrials sector and the Industrial Machinery sub-sector. The company's strategic importance extends beyond commercial manufacturing to supporting India's defense and strategic sectors with specialized machinery and technology solutions.
HMT Limited continues to play a crucial role in India's manufacturing ecosystem, leveraging its decades of experience in precision engineering and machine tool manufacturing. While facing operational challenges, the company's strategic positioning in defense and industrial sectors, combined with its debt-free status, provides a foundation for potential recovery and growth.
