Stock Split: Mrs. Bectors Foods to divide their equity shares; Check record date, other details

Mrs. Bectors Food Specialities Ltd., the maker of the Cremica brand of biscuits and cookies, approved a stock split in the ratio of 1:5, that is, each equity share with a face value of ₹10 will be split into five equity shares with a face value of ₹2 each.The record date for the split will be announced in due course.

Companies generally carry out a stock split to make it easier for shareholders to buy or sell their shares, as it increases the liquidity in the stock. A stock split divides a company’s stock into more shares, lowering the price and increasing the number of shares available to trade.

Mrs. Bectors has not issued bonus shares to its shareholders either, but has been a distributor of dividends.The stock split was announced by the company along with its financial results for the quarter ended June.

The company’s revenue rose 7.64% year-on-year and 6.03% quarter-on-quarter to ₹472.96 crore, from ₹439.40 crore in the same quarter last year.

Net profit stood at ₹30.88 crore, compared to ₹35.43 crore a year ago, down 12.84% YoY and 9.92% QoQ.

Shares of Mrs. Bectors Food Specialities Ltd. ended 0.78% higher on Tuesday at ₹1,425.10. The stock is down 13% on a year-to-date basis.