The shares of karnavati Finance Ltd opened higher on Wednesday and gained as much as 2 percent in the early hours to reach a time high of Rs 175. The share zoomed after the board of directors of the company approved a stock split.
The board of directors has approved the split in the ratio of 1:10. This means that the Existing 1 (one) equity share of the Company having a face value of Rs 10 each fully paid will be subdivided into 10 (Ten) equity shares having face value of Re 1 each fully paid-up.
Karnavati Finance Limited is a financial service company in India offering end-to-end lending, financing, and wealth management solutions to a diversified range of customers across the country.
The shares of the company have zoomed from Rs 26.20 levels in July 2022 up to the current levels logging a multibagger return of 565 percent. An investment of Rs 1 lakh then would be worth Rs 6.65 lakhs in just six months.
In Q2FY23, the company reported a total revenue of Rs 1.18 Crore which increased significantly from Rs 33 lakh in the same period a year earlier. In the previous quarter, their revenue stood at Rs 59 lakhs.
In the quarter under review, their net profit stood at Rs 7 lakhs as compared to a loss of Rs 47 lakhs reported by them in Q2FY22. On a sequential basis, their profit stood at Rs 17 lakhs.
The small-cap company has a market capitalization of Rs 174 Crores. The promoter of the company holds a 58.64 percent stake with zero shares pledged. The remaining 41.37 percent stake is held by the public.
Written by Anoushka Roy
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