Synopsis:
Usha Financial Services Limited approved a 1:1 bonus issue, and shares will be credited within two months, by September 6, 2025.
This NBFC, engaged in providing diversified lending solutions to other NBFCs, corporates, MSMEs, and individuals, and also actively engaged in EV and green financing, jumped 4 percent after the broad approval of 1:1 bonus shares.
With a market capitalization of Rs. 173.90 crores, the share of Usha Financial Services Limited has reached an intraday high of Rs. 84.55 per equity share, rising nearly 4.45 percent from its previous day’s close price of Rs. 80.95. Since then, the stock has retreated and is currently trading at Rs. 80 per equity share.
Usha Financial Services Limited has approved the issuance of bonus shares in the ratio of 1:1, meaning shareholders will receive one additional equity share for every existing share held. This bonus issue will be implemented by capitalizing Rs. 21.74 crores from the Securities Premium Account.
Following this, the paid-up share capital will increase from Rs. 21.74 crore to Rs. 43.48 crore. The bonus shares are expected to be credited or dispatched within two months from the board’s approval date, i.e., by September 6, 2025.
Usha Financial Services Limited was originally incorporated as “Usha Financial Services Private Limited” in May 1995 and became a public limited company in October 2022. The company is a non-banking financial company (NBFC) registered with the Reserve Bank of India as an NBFC-ICC (Investment & Credit Company) in the base layer, categorized as non-systemically important and non-deposit-taking.
The company offers a wide range of lending solutions to meet the needs of various customers. It provides loans to other NBFCs, corporates, MSMEs (Micro, Small, and Medium Enterprises), and individuals, with a strong focus on supporting women entrepreneurs.
Usha Financial Services Limited is also involved in electric vehicle (EV) financing and green financing, promoting sustainable growth. Its main loan products include entrepreneur loans, MSME loans, and personal loans, aiming to support business development and personal financial needs.
Coming into financial highlights, Usha Financial Services Limited’s revenue has increased from Rs. 31 crore in H2 FY24 to Rs. 33 crore in H2 FY25, which has grown by 6.45 percent. The net profit has also grown by 50 percent from Rs. 6 crore in H2 FY24 to Rs. 9 crore in H2 FY25. Usha Financial Services Limited’s revenue and net profit have grown at a CAGR of 33.89 percent and 51.83 percent, respectively, over the last three years.
In terms of return ratios, the company’s ROCE and ROE stand at 12.4 percent and 8.70 percent, respectively. Usha Financial Services Limited has an earnings per share (EPS) of Rs. 6.35, and its debt-to-equity ratio is 0.87x.
Written By – Nikhil Naik
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
