Double Dhamaka! 10:1 stock split & Rs 2/share interim dividend announced: Multibagger civil construction stock with 26,860 per cent returns; FIIs bought 19,29,785 shares in Q1

The stock gave multibagger returns of 180 per cent in just 1 year; 2,061 per cent in 3 years and a whopping 26,860 per cent in 5 years.

Hazoor Multi Projects Ltd informed that a meeting of the Board of Directors of the company announced the stock split in the ratio 10:1 i.e., sub-division of equity shares of Rs 10 face value, 10 equity shares of face value of Re 1 each. The record date for the stock split is yet to be determined. Additionally, the Board has declared 1st Interim dividend of Rs 2 per fully paid-up equity share having a face value of Rs 10 each per equity share for the financial year 2024-25. The Board fixed the record date as August 23, 2024.

Furthermore, the company is issuing 4,32,750 equity shares of Rs 10 each at a premium of Rs 290 per share, totalling Rs 9,73,68,750. These shares are being issued upon conversion of warrants previously allotted to non-promoter/public investors. The warrants were issued at Rs 300 per share with a 25 per cent upfront payment and the remaining 75 per cent due upon conversion. The conversion increased the company's issued and paid-up capital to Rs 19,28,93,520. Additionally, the company has approved the forfeiture of 14,459 partly paid shares due to non-payment by holders and noted that there are still 1,20,06,489 warrants outstanding that can be converted within 18 months of allotment.

Today, shares of Hazoor Multi Projects Ltd plunged 5 per cent to Rs 385.50 per share from its previous closing of Rs 405.75. The stock has a 52-week high of Rs 454 and its 52-week low is Rs 115.

Hazoor Multi Projects Ltd, founded in 1992, has transitioned from residential construction to focus on infrastructure development. They primarily act as a subcontractor on national highway projects for government agencies like the Maharashtra State Road Development Corporation and the National Highways Authority of India. Additionally, Hazoor Multi Projects has ventured into the EPC (Engineering, Procurement, and Construction) contracting business. The company has a market cap of Rs 719 crore. 

Standalone Results: According to Quarterly Results, the company reported net sales of Rs 34.16 crore and net profit of Rs 0.08 crore in Q1FY25. In its annual results, the company reported net sales of Rs 490 crore in FY24 compared to Rs 776 crore in FY23 while the net profit increased by 20.5 per cent to Rs 54.90 crore in FY24 compared to a net profit of Rs 45.58 crore in FY23.

Consolidated Results: According to quarterly results, the company reported net sales of Rs 70.26 crore and net profit of Rs 9,46 crore in Q1FY25. In its annual results, the company reported net sales of Rs 545 crore and a net profit of Rs 63.77 crore in FY24.

In June 2024, FIIs bought 19,29,785 shares and increased their stake to 19.18 per cent compared to 10.92 per cent in March 2024. The shares of the company have a PE of 11.5x whereas the sectoral PE is 19x with an ROE of 86 per cent & an ROCE of 84 per cent. The stock gave multibagger returns of 180 per cent in just 1 year; 2,061 per cent in 3 years and a whopping 26,860 per cent in 5 years. Investors should keep an eye on this micro-cap stock.

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

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