While the Sensex and Nifty are touching new highs, several stocks, including those in the small-cap space, have scaled to new peaks, and it is now time for quarterly earnings. Multibagger smallcap stock Teamo Productions, which was rechristened from GI Engineering last year, has announced its earnings for the fourth quarter. This is the first earnings release after the stock split, which took place in the third quarter of the financial year 2023–24. According to stock exchange data, Teamo Productions split each share into 10 shares. The share traded ex-split on December 14.
A stock split or sub-division happens when a listed company issues more shares to its existing investors by bifurcating the face value. As per the rule, once the share prices hit a specific high price, companies can decide to go for a stock split. A split allows more investors to own stocks at a lower price. Once the number of shares increases after the split, it also leads to greater liquidity.
According to an exchange filing, the net profit, or bottomline, in the March quarter more than doubled. It zoomed 140 per cent to Rs 3.47 crore. The topline or sales in the quarter stood at Rs 114.60 crore.
For the full financial year 2023–24, the net profit increased by nearly 70 per cent to Rs 4.88 crore. According to exchange data, Teamo Productions shares have surged more than 200 per cent in the last two years.
Meanwhile, Sensex and Nifty on Wednesday scaled to new all-time highs, with the former ending above the 75,000-mark for the first time ever. While Sensex closed with a gain of 354 points at 75,038, the Nifty50 index rose 111 points to 22,753. The Nifty50 made a record high of 22,775 on Wednesday. The domestic equity market was closed on Thursday on account of Eid.
