Paras Defence share price has come into the spotlight today. As per a regulatory filing on June 9, 2025, the company’s shareholders have approved a 1:2 stock split. This approval was secured through a postal ballot with a 99.995% majority. This is expected to make Paras shares more affordable and accessible to retail investors.
A 1:2 stock split for Paras Defence means that if you hold 10 shares, you will now have 20 shares. Meanwhile, the price per share will roughly halve, for instance, a ₹1,600 share would become ₹800. Critically, the total value of your investment remains unchanged immediately after the split.
In Q4 FY25, Paras Defence reported a 97% surge in net profit, which reached ₹19.7 crore from ₹10 crore last year. The company's revenue also climbed by 35.8% year-on-year to ₹108.2 crore from ₹79.7 crore.
The company also witnessed a remarkable improvement in its operational efficiency. Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) soared to ₹28.3 crore, a drastic increase from ₹3.4 crore last year. This led to a significant expansion in EBITDA margins, which grew nearly 10 percentage points to 26.2% from 15.6%.
On April 30, Paras Defence declared a maiden dividend of ₹0.50 per share during its Q4 FY25 earnings announcement. This dividend payout, along with the strategic stock split, underscores the company's commitment to delivering value to its investors. These initiatives are likely to be well received by the market.
Paras Defence share price has seen considerable movement. The stock was up 0.16% at 9:44 AM and was trading at ₹1,610. Over the past three months, Paras Defence shares have delivered returns of over 66%, and over the last year, they have surged by more than 82%. The stock reached a 52-week high of ₹1,945.00 in May 2025, indicating significant investor interest.
Read more: Asian Paints Dividend Record Date on June 10: How Much Dividend Will 1,000 Shares Earn?
Paras Defence is navigating a period of significant corporate action and strong financial performance. The approved stock split and the impressive Q4 FY25 earnings, coupled with the company's first-ever dividend, collectively suggest a positive outlook for the firm.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
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Published on: Jun 10, 2025, 9:56 AM IST
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