Synopsis:
Mukul Agarwal backed Stock is in focus after the company announced the record date for the issue of bonus shares in 3:5 ratio.
A small-cap company that is in the business of Electrical Machinery for Indian Railways and allied products, gained attention after announcing the record date for issue of bonus shares in the ratio of 3:5.
With Market Capitalization of Rs. 1,689.98 crore, Concord Control Systems Ltd is trading at 2,682.30, down by 1.85 percent from its previous closing price of Rs. 2,732.90 per equity share. As of March 2025, the ace investor Mukul Mahavir Agarwal holds a 3.81 percent stake in the company.
What’s the News?
Concord Control Systems Limited has announced a record date for the 3:5 bonus share issue, giving three new fully paid-up equity shares of Rs. 10 for every five existing shares. The company has fixed Friday, October 16, 2025, as the record date to determine shareholder eligibility for the bonus shares.
A bonus issue is a practice where a company distributes additional shares to existing shareholders for free, according to a set ratio, using its earnings. Here, the company has opted to issue bonus shares instead of distributing profits as dividends.
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About the Company
Concord Control Systems Limited, based in Lucknow and incorporated in 2011, manufactures and supplies a range of electrical and electronic products for Indian Railways, including couplers, lighting systems, fans, battery chargers, control panels, train vehicle control units, wireless control systems, and remote monitoring solutions.
It is trading at a price-to-earnings (P/E) ratio of 74.6x, which is higher than the industry average of 35.7x. A return on equity (ROE) of about 27.4 percent and a return on capital employed (ROCE) of about 36.8 percent demonstrate the company’s financial position.
The company reported revenue of Rs. 75 crore in H2 FY25, up by 50 percent from Rs. 50 crore in H1 FY25 and 114.28 percent YoY from Rs. 35 crore in H2 FY24. The company reported a net profit of Rs. 14 crore in H2FY25, increased by 75 percent from Rs. 8 crore in H1FY25 and 100 percent from Rs. 7 crore in H2FY24.
Written By Akshay Sanghavi
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