Blue Chip FMCG Stock Creates History! 2:1 Bonus Shares Announced For The 1st-Time; Buy Godfrey Phillips India?

The share price of Godfrey Phillips India had a notable spike on Tuesday, August 5, 2025, wrapping up at Rs 9,881.50, up 10% from the previous day's close of Rs 8,983.50. The stock reached its upper circuit price range for the day on the BSE and NSE, setting a new 52-week high. This outstanding achievement came after the board approved a 2:1 bonus share issuance for the first time in company history, and the firm reported a 56% year-on-year rise in its consolidated net profit for the quarter ending June 2025.

Godfrey Phillips India Bonus Shares

The Board of Directors of the company, at its meeting held on 4th August 2025, has considered, approved and/or recommended "Issuance of Bonus Equity Shares in the proportion of 2:1 viz., 2 (Two) new fully paid-up Bonus Equity Shares of Rs. 2/- (Rupees Two) each for every 1(One) existing fully paid-up Equity Share of Rs. 2/- (Rupees Two) each, by capitalization of General Reserves and/or Retained Earnings, to all the eligible Members of the Company, whose names appear in the Register of Members of the Company/ List of Beneficial Owners as on the 'Record Date', subject to the approval of the Shareholders of the Company and other regulatory approvals, if any. The 'Record Date' for determining the entitlement of the Shareholders of the Company to receive Bonus Equity Shares has been fixed as Tuesday, 16th September 2025," said Godfrey Phillips India in a stock exchange filing.

The company has announced a bonus issue of 10,39,87,840 equity shares at a 2:1 ratio, which means that for every existing fully paid-up equity share of Rs 2, two fully paid-up equity shares of Rs 2 each would be issued. The paid-up share capital will rise from Rs 1,039.88 lakh, which includes 51,99,33,920 equity shares, to Rs 3,119.64 lakh, which includes 15,59,81,760 equity shares, after the bonus issue. A total of Rs 2,079.76 lakh would be taken out of General Reserves and/or Retained Earnings to take care of this issue.

The company's reserves, as shown on the latest audited balance statement as of March 31, 2025, are Rs 3,47,30.72 lakh in general reserves, Rs 8,43,02.008.68 lakh in retained earnings, and Rs 30.00 lakh in capital redemption reserves. The bonus shares will be credited within two months of the Board's approval date, which is on or before October 3, 2025, subject to member and regulatory clearances.

Godfrey Phillips India Upcoming Dividend

The Board also considered "Fixing of Record Date for the purpose of payment of Final Dividend for the Financial Year 2024-25 as Friday, 22nd August 2025 and Closure of Register of Members and Share Transfer Books for the purpose of the 88th AGM as Saturday, 23rd August 2025 to Thursday, 4th September 2025 (both days inclusive). Further, we wish to inform that the Final Dividend for the Financial Year 2024-25, if approved at the 88th AGM, shall be paid within a period of 30 days from the date of the 88th AGM," Godfrey Phillips India informed stock exchanges on Monday.

The company's 88th Annual General Meeting (AGM) is scheduled for Thursday, September 4, 2025.

The blue chip FMCG company has declared a Rs 60.00 per share dividend as a final payout for FY25.

Godfrey Phillips India Q1FY26 Results

Godfrey Phillips India Ltd. released a stunning set of results for the first quarter of FY26 on Monday, August 4. The company's net profit increased 56% to Rs 356.3 crore from Rs 228.5 crore in Q1FY25. Revenue for the quarter under review surged 36.6% to Rs 1,486 crore against Rs 1,088 crore reported in the year-ago quarter. EBITDA climbed from Rs 270 crore in Q1FY25 to Rs 338 crore in Q1FY26, a 25.3% rise. In contrast, the EBITDA margin plummeted to 22.7% in the June 2025 quarter from 24.8% in the June 2024 quarter.

Godfrey Phillips India Target Price 1

Mandar Bhojane - Senior Equity Research Analyst at Choice Broking said, "GODFRYPHLP recently gave a breakout from its daily consolidation range and hit a 10% upper circuit in today's session, reflecting strong bullish momentum. The stock is consistently forming higher highs and higher lows, supported by strong volumes, indicating sustained buying interest. If the price manages to sustain above ₹9,880, it may potentially rally toward the ₹10,500 and ₹11,000 levels. On the downside, ₹9,500 will act as immediate support, making it a favorable buy-on-dips zone."

"Technically, the Relative Strength Index (RSI) is at 63.51 and trending upward, indicating strengthening momentum. The Stochastic RSI has given a positive crossover from the oversold region, adding to the bullish bias. Moreover, the stock is trading above all key exponential moving averages (20, 50, 100, and 200 EMA), further confirming the positive trend," the analyst added.

"For prudent risk management, existing holders can maintain a stop-loss at ₹9,100. Fresh buyers are advised to wait for a pullback or dip toward support levels before entering, to ensure a favorable risk-reward setup," Mandar Bhojane further recommended.

Godfrey Phillips Share Price Target 2

"Godfrey Phillips India has given a strong all-time high breakout, indicating robust bullish momentum. The stock is trading with heavy volumes and sustained buying interest, supported by its positive price structure. Immediate support lies near ₹9,650, while a continuation of momentum could drive it toward ₹10,200-₹10,500 in the short term. RSI remains elevated but stable, suggesting strength without excessive overbought pressure. As long as it holds above ₹9,650, the trend stays firmly bullish, and dips can be used for accumulation with a stop-loss at ₹9,600," commented Riyank Arora, technical analyst at Mehta Equities.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor GoodReturns. The author, nor the brokerage firm nor GoodReturns would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.