Synopsis:
Gokul Agro Resources jumped sharply after it announced the splitting shares in the ratio of 1:2 and also fixed the record date for determining the eligibility of the shareholders.
The shares of this leading manufacturer and processor of various kinds of Edible and non-edible oils and meals are in focus as the company announced to reward the shareholders.
With a market capitalization of Rs 5,743 crore, the shares of Gokul Agro Resources Ltd made a day high of Rs 404.80 per share, up by 12 percent from its previous day closing price of Rs 361.45 per share. Over the past five years, the stock has delivered a multibagger return of 2,637 percent.
About the announcement
Gokul Agro Resources announced that it is going to split its shares in the ratio of 1:2. On September 12, 2025, at the 11th Annual General Meeting, the board approved the share split from the current Rs 2 face value to Rs 1 each. This move is aimed at making the shares more accessible and affordable.
With this share division, for every one share of Rs 2 face value, you will receive two shares of Rs 1 each. However, the total of your shares at market value will remain unchanged. For example, if you had 100 shares before the split, you would have 200 shares afterward, but the total value of your holding will be the same.
Additionally, the company has fixed October 14, 2025, as the record date for the stock split. Those who will be holding the company’s shares on the mentioned date will get the new shares that will be issued after the split.
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Financial Highlights
Gokul’s revenue for Q1 FY26 came in at Rs 4,924 crore, up by 15 percent from Rs 4,290 crore in the same quarter last year. However, on a sequential basis, revenue declined by 10 percent from Rs 5,462 crore in Q4 FY25.
Coming to its profitability, the company reported a net profit growth of 36 percent to Rs 72 crore in Q1 FY26 as compared to Rs 53 crore in Q1 FY25. Additionally, on a QoQ basis, it recorded a growth of 47 percent from Rs 49 crore.
The company has delivered an ROE and ROCE of 26.95 percent and 34.20 percent respectively, and is currently trading at a low P/E of 21.76x as compared to its industry average of 28.86x.
Gokul Agro Resources Limited is an agriculture-based company that produces and sells both edible and non-edible oils, meals, and other similar products in the local market as well as in foreign countries. The company deals in oils like soybean, sunflower, mustard, groundnut, palm, cottonseed, rice bran, vanaspati, frying oil, and specialty fats for bakery and confectionery.
Besides, the company also makes castor oil and its derivatives and animal feed cakes. Its products are marketed under the names of Vitalife, Mahek, Pride, and Richfield. The company also has a good export business.
Written by Satyajeet Mukherjee
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