Synopsis:
Chandra Prabhu International approved a 1:2 bonus share issue and raised authorised capital to Rs. 6 crore at its AGM, aiming to enhance liquidity and shareholder value.
Known for trading and exporting coal, agro commodities, and synthetic rubber, the company recently made key corporate announcements that have caught investor attention. In its latest AGM, it approved a 1:2 bonus issue and increased its authorised capital, a move that immediately drove its stock higher in trading.
Chandra Prabhu International Limited’s stock, with a market capitalisation of Rs. 36.52 crores, rose to Rs. 19.80, hitting a high of up to 4.93 percent from its previous closing price of Rs. 18.87. However, the stock over the past year has given a negative return of 31.3 percent.
Bonus issue
The company’s board has approved the issuance of bonus equity shares at a ratio of 1:2. This means that for every two fully paid-up equity shares of face value Rs. 2 each that a shareholder owns, they will receive one additional bonus share, also of Rs. 2 face value, at no extra cost. To facilitate this, the company will increase its authorized share capital to Rs. 6 crores, divided into 3 crore equity shares of Rs. 2 each, as amended in its Memorandum of Association.
For example, if a shareholder holds 200 shares, they will receive 100 bonus shares, increasing their total to 300 shares without any further payment. This move benefits shareholders by increasing their number of shares, which may enhance liquidity and improve perceived value, while not diluting their proportional ownership or requiring additional investment.
Also read: 2 Smallcap stock jumps up to 5% despite Mutual Funds and others sold stake in the company
Q1 Financial Highlight
Revenue in Q1FY26 stood at Rs. 274.9 crore, down 5.8% YoY from Rs. 291.9 crore in Q1FY25 and 8.5% QoQ from Rs. 300.4 crore in Q4FY25. Over the past three years, sales have grown at an 11% CAGR, reflecting steady topline expansion despite near-term weakness.
The company posted a net loss of Rs. 4.1 crore in Q1FY26, widening from a Rs. 1.2 crore loss in Q1FY25 and Rs. 0.1 crore in Q4FY25. Profit CAGR over three years stands deeply negative at -51%, even as ROE CAGR remains modest at 8%, underscoring pressure on profitability despite revenue growth.
Written By Fazal Ul Vahab C H
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