Brigade Enterprises Announces 1:3 Bonus Issue
Brigade Enterprises announced a bonus share issue for investors after its board meeting held on May 6. The company declared a 1:3 bonus ratio, meaning shareholders will receive one bonus equity share for every three shares held.
According to the company’s exchange filing, the bonus shares will have a face value of ₹10 each and will be issued subject to shareholder approval through postal ballot.
The company also confirmed that the official record date for determining shareholder eligibility will be announced separately in the coming days.
₹2 Final Dividend Also Announced
Along with the bonus issue, Brigade Enterprises also recommended a final dividend of ₹2 per equity share for investors.
The dividend proposal will require shareholder approval during the company’s upcoming Annual General Meeting (AGM).
This announcement came alongside the company’s March quarter earnings report.
Q4 Profit Declines 23%
Brigade Enterprises reported a 23% year-on-year decline in consolidated net profit for the March quarter.
The company posted a profit after tax (PAT) of ₹190 crore compared to ₹249 crore during the same quarter last year.
Revenue from operations also remained nearly flat at ₹1,457 crore versus ₹1,460 crore in the previous financial year’s corresponding quarter.
According to the company, weaker leasing income impacted overall earnings despite positive performance from the real estate and hospitality segments.
Stock Falls Nearly 5%
Despite the bonus issue announcement, Brigade Enterprises shares witnessed selling pressure in Thursday’s trading session.
The stock dropped nearly 5% intraday and touched a low of ₹776.10 compared to its previous closing price of ₹808.95.
Market experts believe investors reacted cautiously to the decline in quarterly profitability even after the shareholder-friendly bonus announcement.
