173% Gain From 52W-Low; Realty Stock Declares 1:10 Stock Split After 3 Yrs of Listing

In the real estate industry, Suratwwala Business Group Ltd. is a small cap company. One of Pune's top construction businesses is Suratwwala Business Group Ltd. Following three years of being listed on exchanges, the firm announced its first-ever stock split on Tuesday.

The Board of Directors of the company at its meeting held on Tuesday, November 7, 2023 have considered and approved "Sub-division/split of each equity share of face value of Rs. 10/- (Rupees Ten only) each, fully paid into 10 (Ten) equity shares of face value of Rs. 1/- (Rupees One Only) each, fully paid up by alteration of Capital Clause of Memorandum of Association of the Company, subject to the approval of the members of the Company to be sought by means of Postal Ballot. The Record date for sub-division/ split of existing equity shares will be intimated in due course," said Suratwwala Business Group in a stock exchange filing.

"With a view to enhance the liquidity of Company's equity shares and to encourage participation of retail investors by making equity shares of the Company more affordable," the company said in a statement stating the rationale behind the stock split.

The expected time of the completion of the above said corporate action is within 3 months from the date of approval of the members of the company.

During Q2FY24, the company recorded a standalone revenue from operations of Rs 18.33 Cr compared to Rs 13.44 Cr in Q2FY23, representing a YoY growth of 36.38%. The company posted a net income of Rs 18.48 Cr during the quarter under review as against Rs 13.48 Cr posted in the year-ago quarter. Suratwwala Business Group said its standalone net profit stood at Rs 8.12 Cr during the quarter ended 30th September 2023 up by 37.86% YoY from Rs 5.89 Cr reported in the same quarter of FY23.

Suratwwala Business Group listed on the stock exchanges on 13-08-2020 and within 3 years of listing the stock gained over 90%. The stock hit a 52-week high of Rs 457.80 on August 11, 2023, and a 52-week low of Rs 164.90 on March 20, 2023. Based on these values, the stock is now trading 172.43% above its one-year low and 2.66% below its one-year high.