Paras Defence Announces First-Ever 1:2 Stock Split; Shareholders Approve with Record Date Pending
Paras Defence and Space Technologies Ltd. has announced its first-ever stock split, with shareholders approving a 1:2 split during the Annual General Meeting (AGM) held on June 7, 2025. The company stated that the record date for the stock split will be announced shortly.
Stock Split Details
The 1:2 stock split means that for every existing share, shareholders will receive one additional share, effectively doubling the number of shares they hold. While the total value of the investment remains unchanged, the split makes the stock more accessible to a broader range of investors by reducing the per-share price.
Shareholder Approval
According to a regulatory filing, 99.995% of shareholders approved the stock split proposal via postal ballot. The company also approved the alteration of the Capital Clause in its Memorandum of Association to facilitate the split.
Financial Performance
In its Q4 FY25 earnings report, Paras Defence reported a 97% year-on-year increase in net profit, reaching ₹19.7 crore compared to ₹10 crore in the same period last year. Revenue also rose by 35.8% year-on-year to ₹108.2 crore, up from ₹79.7 crore in the previous year’s quarter.
Stock Performance
Following the announcement, Paras Defence shares experienced a slight decline, falling 2.39% to ₹1,607.20 on Monday, down from the previous close of ₹1,646.60 on the Bombay Stock Exchange (BSE). The company’s market capitalization stands at ₹6,476 crore.
Outlook
Investors are awaiting the record date announcement to determine their eligibility for the stock split. The split is expected to enhance liquidity and attract a wider investor base, potentially impacting the stock’s performance in the coming weeks.
