1:2 Stock Split: Small Cap Stock to Trade Ex-Split Tomorrow, Rallies 615% In 3-Yrs

Pearl Global Industries shares will trade ex-split on Friday (January 5, 2024), which is also the set record date. The share price of Pearl Global Industries Limited closed 0.40% higher at Rs 1381.65 per share on Friday. The company commands a market capitalization of Rs 3,009.31 crore. Tomorrow, the stock will split the face value of its shares from Rs 10 to Rs 5.

Pearl Global Industries is a small-cap stock operating in the Readymade Garments/ Apparells sector. The stock has a 52-week high and 52-week low of Rs 1,470.00 and Rs 334.35 respectively.

Pearl Global Industries Stock Split:

Last year, the company's Board declared a stock split in a 1:2 ratio i.e., the existing 1 equity share of the face value of Rs. 10/- each fully paid up shall be subdivided/ split into 2 equity shares of face value of Rs. 5/- each fully paid up.
According to the company, the rationale behind the split is (i) To encourage wider participation of small investors, and (ii) To enhance liquidity of the Equity Shares of the Company in the Stock Market.

Pearl Global Industries share price performance:

Pearl Global Industries Ltd is a multi-bagger stock as the company's shares have delivered 615.14% returns in last three years. The stock's last one year and last two-year returns have increased 242.50% and 296.29% respectively. In the last six months, the share price of Pearl Global Industries has increased 131.01%. The stock is up 33.54% in the last three months.

125% Dividend: Pearl Global Industries

In its meeting held on November 8, 2023, the Board of Directors of the Company Declared a Second interim dividend ( Special dividend) of Rs.12. 5/- per Equity Share i.e. 125% on the face value of Rs. 10/- each for the financial year 2023-24 considering the continuously improved business performance of the entire group over the last few quarters.

On the same day, the company also approved the Sub-Division/ Split of Equity Shares of the Company from the face value of Rs. 10/- each to Rs.5/- each.

Pearl Global Industries Q2 Results

For the quarter ending September 2023 quarter, the company reported Rs 218.50 crore, down 27.29% compared to Rs. 300.52 crore in the September 2022 quarter. The company reported a standalone net profit of Rs. 1.20 crore in Q2FY24. EBITDA stood at Rs. 14.36 crore in the quarter under review down 28.02% from Rs. 19.95 crore in the year-ago quarter.

Consolidated, the company's revenue from operations for the second quarter stood at Rs. 960.59 crore, up 11.65% from Rs. 860.33 crore in the same period the previous year. Consolidated net profit improved 71.48% from Rs. 23.14 crore in Q2FY23 to Rs. 39.68 crore in Q2FY24.

About the company:

Pearl Global is a global end-to-end clothing provider and vendor that was founded in 1987. This reputable apparel manufacturer operates many production facilities in Bangladesh, Vietnam, Indonesia, and India.