Board announces stock split from Rs 5 to Rs 2 & Rs 2.50/share dividend: Debt-free multibagger stock in focus as PAT jumps 50.9 per cent QoQ
The stock is up by 19.4 per cent from its 52-week low of Rs 164.35 per share and gave multibagger returns of over 1,680 per cent in 5 years.
Global Education Ltd (GEL) proposes to subdivide its existing equity shares from a face value of Rs 5 to Rs 2 each. This will result in the creation of two new equity shares for every existing one. Concurrently, the company intends to amend its Memorandum of Association to reflect the altered share capital structure. The authorized share capital will remain at Rs 12 crore, but will now be divided into 5,97,50,000 equity shares of Rs 2 each and 5,00,000 redeemable preference shares of Re 1 each. The record date for the subdivision will be determined after obtaining shareholder approval. In addition, the Board of Directors has declared a first interim dividend of Rs 2.50 per equity share for the financial year 2024-25. The record date for this dividend is set for October 31, 2024.
According to Quarterly Results, the total income increased by 68.6 per cent to Rs 25.66 crore and net profit increased by 50.9 per cent to Rs 10.65 crore in Q2FY25 over Q1FY25. In its half-yearly results, the total income increased by 6.5 per cent to Rs 40.88 crore and net profit decreased by 8.8 per cent to Rs 17.75 crore in H1FY25 over H1FY24
Global Education Ltd (GEL), established in 2011, is a comprehensive educational service provider and consultancy firm. Offering a wide range of services, GEL caters to various organizations, including educational institutions, corporations and banks. Their expertise spans business management consulting, skill development programs, and admission assistance. From infrastructural support and online examinations to marketing and branding, GEL provides a one-stop solution for educational needs. Additionally, they offer a variety of products, such as computer hardware, tools, and printed materials, primarily serving educational institutions. With a strong network and a clientele that includes industry giants like Capgemini, HCL and Wipro, GEL has established itself as a reliable and trusted partner in the education sector.
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The company has a market cap of Rs 383 crore and is debt-free. The company has delivered good profit growth of 35.5 per cent CAGR over the last 5 years and has been maintaining a healthy dividend payout of 28 per cent. The shares of the company have an ROE of 40 per cent and an ROCE of 55 per cent. The stock is up by 19.4 per cent from its 52-week low of Rs 164.35 per share and gave multibagger returns of over 1,680 per cent in 5 years. Investors should keep an eye on this stock.
Disclaimer: The article is for informational purposes only and not investment advice.