United Spirits Peer Company Announced 1:4 Bonus Shares – Profits Surged by 7 Times in Just 3 Years!

The company’s shares have delivered an impressive return of over 1,100 per cent to its shareholders.

Incorporated in 2000, Aurangabad Distillery Ltd is engaged in the production of various distillery products. The company operates a molasses-based distillery, utilizing PLC-based distillation to produce spirit with 95 per cent alcohol content, as well as manufacturing alcohol through the rectification process.

On Monday, September 2, 2024, the Board of Directors of Aurangabad Distillery Ltd approved the recommendation to issue bonus shares in the ratio of 1:4. This means that shareholders will receive one new fully paid-up bonus equity share of Rs 10 for every four existing fully paid-up equity shares of Rs 10, subject to shareholder approval.

Today, the shares of Aurangabad Distillery Ltd closed at around Rs 367.95 per share on the NSE. The company’s current market capitalization stands at Rs 301.72 crore. Additionally, the shares have delivered an impressive multibagger return of over 1,150 per cent in the past 5 years.

The company does not release Quarterly Results. However, according to the half-yearly results, Aurangabad Distillery Ltd reported a revenue of Rs. 9.91 crore. The operating profit stood at Rs 14 crore. The net profit was Rs 12 crore compared to Rs 11 crore. Looking at the annual performance, the company generated a revenue of Rs 131 crore in FY24. The operating profit for FY24 was Rs 28 crore with a net profit of Rs 17 crore compared to a net profit of Rs 9 crore in FY23.

According to the company's shareholding pattern, the promoters hold a significant 74.93 per cent stake. Public investors own 25.07 per cent of the shares.

Check out my recent article here.

Investors must keep this stock on their radar.

Disclaimer: The article is for informational purposes only and not investment advice.