Synopsis:
Small-cap company’s shares gained attention after its board announced the meeting in which it is going to consider bonus issue.
A small-cap company that is an IT solutions provider based in Mumbai, Maharashtra, with deep expertise in creating specialized products and solutions within its business verticals, came into the spotlight after announcing that its board is going to consider the bonus issues.
With Market Capitalization of Rs. 1,958.62 crore, Orient Technologies Limited is trading at 470.35, down by 0.34 percent from its previous closing price of Rs. 471.95 per equity share. The stock had reached an intraday high of Rs. 466.45 in today’s trading session, implying an upside of 2.59 percent.
What’s the News?
The company has announced that its Board of Directors will meet on November 11, 2025, to consider and evaluate a proposal for the issuance of bonus shares to its existing shareholders. This move, if approved, is expected to reward investors and enhance liquidity in the company’s stock.
A bonus issue is a corporate action where a company distributes additional shares to its existing shareholders free of cost, in a specified ratio, from its accumulated earnings. In this instance, the company has opted to reward shareholders through a bonus share issue instead of distributing profits as dividends.
About the Company
Orient Technologies Limited, founded in 1997 and based in Mumbai, provides a wide range of information technology services in India and internationally. The company offers IT infrastructure design, system integration, cloud and data management, managed services, and enterprise IT support. Its solutions include cloud computing, data centers, security, and end-user computing, catering to industries such as banking, healthcare, media, manufacturing, government, logistics, and e-commerce. The company focuses on helping businesses enhance efficiency and scalability through innovative technology solutions.
A return on equity (ROE) of about 20 percent, a return on capital employed (ROCE) of about 26.5 percent and debt to equity ratio of 0.02 demonstrate the company’s financial position. At the moment, the company’s P/E ratio is 38x higher as compared to its industry P/E 34.2x.
In Q1 FY26, the company reported a revenue of Rs. 213 crore, up 42.95 percent from Rs. 149 crore in Q1 FY25 but down 18.39 percent from Rs. 261 crore in Q4 FY25. Profit for the quarter stood at Rs. 10 crore, rising 11.11 percent YoY from Rs. 9 crore in Q1 FY25, while declining 23.08 percent QoQ from Rs. 13 crore in Q4 FY25, reflecting strong yearly growth despite seasonal quarter-on-quarter moderation.
Written By Akshay Sanghavi
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