FMCG Stock Rises
On Thursday’s FMCG Stock Rises 20% After The Board Of The Company Decides To Address The Issue Of Stock Splits And Bonuses, a company engaged in the manufacture and sale of dairy products, hit a 20 percent upper circuit on the BSE, reaching Rs. 678.9. This surge followed the announcement of a Board meeting to consider proposals for a bonus issue and stock split.
Market Performance
Milkfood Limited, with a market capitalization of Rs. 413.8 crores, opened at Rs. 576, up by 1.8 percent from its previous closing price of Rs. 565.75.
Upcoming Board Meeting
According to the latest regulatory filings with the BSE, the Board of Directors of Milkfood is scheduled to meet on 25th June, a Tuesday, to consider and approve the following matters:
- Interim Dividend: The Board will consider the proposal for payment of an interim dividend on the company’s equity shares, if applicable.
- Bonus Issue: The Board will discuss the proposal for a bonus issue, along with any related matters, subject to necessary regulatory and statutory approvals, including the approval of the company’s shareholders.
- Stock Split: The Board will review the proposal for the sub-division of equity shares with a face value of Rs. 10 each.
Financial Performance
In terms of financials, Milkfood Limited reported a 5.8 percent increase in revenue from operations, rising from Rs. 115 crore in Q3 FY23-24 to Rs. 121.7 crore in Q4 FY23-24. The after-tax profit showed substantial growth, increasing by 223.3 percent from Rs. 1.2 crore to Rs. 3.88 crore during the same period.
Shareholding Pattern
As of March 2024, the shareholding pattern of Milkfood Limited is as follows:
- Promoters: 47.75 percent
- Foreign Institutional Investors (FII): 7.28 percent
- Retail Investors: 44.92 percent
- Domestic Institutional Investors (DII): 0.06 percent
Stock Returns
The stock has delivered positive returns, with an increase of nearly 20.3 percent over the past year and approximately 17.7 percent in the last six months.
Company Overview
Milkfood Limited operates in a single segment, focusing on the manufacture and sale of dairy products such as pure ghee, skimmed milk powder, and whole milk powder. The company has two manufacturing locations, one in Patiala, Punjab, and the other in Moradabad, Uttar Pradesh.