The smallcap company’s share price increased by 2.6% on Wednesday, from its intraday high of ₹3169.55 per share to its previous close of ₹3,088.55, following the announcement of a bonus issue.
In the exchange filing on Tuesday, the company received approval for the issuance and proposed allotment of 13.50 crores equity shares, each with a face value of Rs.10/-, as bonus shares.
The issuance ratio is 5:1, which means shareholders will receive 5 new fully paid-up Equity Shares for every 1 existing Equity Share of ₹10 in the company.
According to the Sandur Manganese and Iron Ores Ltd report, the net revenue decreased by 61% YoY, from ₹478.5 crore in Q2FY23 to ₹184.81 crore in Q2FY24.
In addition, the net profit increased by 23% YoY, from a net profit of ₹21.88 crore in Q2FY23 to a net loss of ₹26.98 crore in Q2FY24.
Sandur Manganese and Iron Ores Ltd is a small-cap stock with a market capitalization of ₹8,169 crores. The share price has risen by 89 % since it was listed on the stock exchange.
The Company has a low debt-to-equity ratio of 0.11, a return on equity of 14.7%, a return on capital employed of 18% with a net profit margin of 12.4%.
The promoters own 74.25% of the company, with the general public owning 24.77%, foreign institutional investors owning 0.33%, and domestic institutional investors owning 0.64%.
Sandur Manganese and Iron Ores Limited is an India-based integrated and diverse commodity producer. It is involved in the mining of manganese and iron ore. The company also manufactures ferroalloys and coke. Its segments include mining, ferroalloys, coke, and energy.
Written by Sriram KV
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
