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1:4 Bonus issue: Company announces record date; Heavy volume witnessed in stock today
Rakesh Deshmukh

1:4 Bonus issue: Company announces record date; Heavy volume witnessed in stock today

The company's shares have delivered an impressive return of over 900 per cent to their shareholders in the past decade.

G M Breweries Ltd is a major manufacturer and marketer of Alcoholic Beverages in Maharashtra, India had announced bonus shares as well as dividends for the shareholders in April 2024. The company has announced the record date for the bonus issue.

Bonus Issue & Dividends by G M Breweries

In April 2024 via press release the company announced the issue of bonus shares in the proportion of 1:4, i.e., one new fully paid bonus equity share of Rs 10 each for every four existing fully paid equity shares of Rs 10 each held as of the record date, along with a dividend of 700 percent, which is Rs 7 per equity share of Rs 10 each. The company has fixed Saturday, May 25, 2024, as the record date for ascertaining the eligibility of shareholders for the bonus issue.

Also read 1:2 Stock Subdivision: Stock gains over 190 per cent in just 1 year, FIIs and DIIs increase stake!

On Friday the company’s stock closed the day at Rs 780.95 per share on the BSE representing a gain of 3.7 per cent. Additionally, the stock has delivered a multibagger return of over 900 per cent in the past decade.

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Financial Performance of G M Breweries

According to its Quarterly Results, the net sales increased by 3.3 per cent to Rs 623.24 crore and net profit increased by 146.8 per cent to Rs 86.64 crore in Q4FY24 compared to Q4FY23. In its annual results, the net sales increased by 3.8 per cent to Rs 2,415.30 crore and net profit increased by 51.7 per cent to Rs 151.52 crore in FY24 compared to FY23.

Business Overview of G M Breweries

Established in 1981, G M Breweries Ltd is a major manufacturer and marketer of Alcoholic Beverages in Maharashtra, India. They specialize in Country Liquor (CL) and Indian-made Foreign Liquor (IMFL). Notably, G M Breweries Ltd holds a monopoly on country liquor in Mumbai, Thane & Palghar districts and is the largest producer of country liquor in the entire state with a significant market share. Their dominance is further emphasized by their contribution of 25-30 per cent of the total Excise duty for country liquor in Maharashtra.

Investors must keep this Small-Cap multibagger stock on their radar.

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

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