1:3 Bonus Issue: Small Cap Textile Stock Recommends, Shares Surge 1561% In 3-Yrs

Small cap stock operating under the textile sector Axita Cotton Ltd recommended bonus issue in the proportion of 1:3 implying that shareholders will be eligible to receive 1 bonus share for every 3 shares held as on the record date. The Board of Axita Cottton will communicate the record date for bonus share later. Axita Cotton share BSE offered return of 485% in last 2-years and declined 39% year-to-date. Current market price of Axita Cotton share on BSE is Rs 30.07 per share with intraday gain of 2.66% at 10:42 am. Check details below:

Axita Cotton Recommends 1:3 Bonus Issue: As per the BSE filing of the company issued on November 23, 2023, "recommended the issuance of Bonus Equity Shares in the ratio of 1:3 [i.e. 1 (One) Bonus Equity Share of Rs. 1/- each for every 3 (Three) fully paid-up Equity Share held as on record date] subject to the approval of Shareholder. The record date for reckoning eligible shareholders entitled to receive Bonus Shares will be communicated later."

Axita Cotton Bags Order Worth 89 Crore On Nov 22, 2023: The company received order worth Rs 89 crore on November 22, 2023 from multiple vendors. As per the regulatory filing, "Pursuant to Regulation 30 of 5EBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we are pleased to inform that Axita Cotton Limited a leading Cotton Bales Manufacturer, today announced that it has secured a new sales order from multiple vendors of the industry. the Company has received various contracts / awards of supplying cotton bales worth of INR 89.22 Crores (including &5T) in Indian Raw Cotton categories under the terms of the agreement, Axita Cotton Limited will deliver cotton bales over a period of time."

Axita Cotton Stock Performance & Return: Current market price of Axita Cotton share on BSE is Rs 30.07 per share. Its 52-week high price is Rs 83.00 per share and 52-week low price is Rs 176 per share, respectively. The company has a market capitalisation of Rs 587.96 crore. Axita Cotton shares gained 15% in last 1-week, fell 16% in last 1-year, gave return of 485% in last 2-years, and offered rally of 1561% in last 3-years.

Axita Cotton Financial Performance: The company for the quarter ended September 2023 declared its net sales at Rs 388.78 crore, up 324.23% from Rs 91.64 crore announced in September 2022. Its quarterly net profit came at Rs 6.51 crore, up 183.97% for the quarter under consideration as compared to Rs 2.29 crore declared in the corresponding period of last year. The company announced its EBITDA at Rs 9.18 crore in September 2023, up 152.89% as against Rs 3.63 crore announced in September 2022. The company declared its EPS (earning per share) came down to Rs 0.33 in Sept 2023 from Rs 1.17 in Sept 2022.

Disclaimer

The stock just highlights the bonus share and is not a recommendation to buy, sell or hold. We have not done fundamental or technical analysis and have no opinion on the stock mentioned. Neither, the author nor Greynium Information Technologies should be held liable for any losses. Please consult a professional advisor.