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3:1 Bonus and 1:10 Split: Chemical stock in focus after it sets record date for bonus and share split

Alex Smith

Alex Smith

4 days ago

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3:1 Bonus and 1:10 Split: Chemical stock in focus after it sets record date for bonus and share split

Synopsis: A-1 Limited revised its record date. The date determines shareholder eligibility for a 3:1 bonus issue and 1:10 stock split, significantly enhancing share accessibility for investors.

A prominent company in its sector has issued a crucial update for its shareholders regarding upcoming corporate actions. The firm recently corrected a clerical error by revising the record date. This revised date will determine which investors are eligible for bonus issue and a stock split that will significantly increasing share accessibility.

A-1 Limited‘s stock, with a market capitalisation of Rs. 2,132.96 crores, fell to Rs. 1,854.75, hitting the intraday lower circuit, down 5 percent from its previous closing price of Rs. 1,952.35. Furthermore, the stock over the past year has given a return of 377 percent.

Record Date

The company has sent an official notice to inform shareholders about a change in an important date. The record date for determining which shareholders qualify for a bonus issue and stock split has been revised from December 22, 2025, to December 31, 2025, due to a clerical error in the original intimation filed on December 15, 2025.​

The revised record date will now be used to identify eligible shareholders for two corporate actions. First, the company will issue bonus shares in a 3:1 ratio, meaning shareholders will receive three new shares for every one existing share of Rs. 10 face value they hold. Second, a stock split will be executed where each existing share of Rs. 10 face value will be divided into 10 new shares of Re. 1 face value each.​

Recent Business Update

A1 Ltd is making its biggest move yet by entering the electric vehicle business. The company plans to work on EV research, make parts, build battery systems, and set up charging stations. To support this shift, A1 Ltd increased its ownership in A1 Sureja Industries from 45% to 51%, paying Rs. 100 crore for the deal. A1 Sureja makes electric two-wheelers under the Hurry-E brand, making A1 Ltd one of India’s first chemical companies to own a registered EV maker.

The Hurry-E electric motorcycle is approved by ARAI and costs between Rs. 75,000 and Rs. 1.10 lakh. It comes with useful features like reverse mode and smart battery systems, targeting daily riders and businesses looking for cheap, reliable options. India’s electric two-wheeler market is growing fast at 35% each year and could reach 5 million units by 2028. This expansion could help A1 Ltd grow through clean technology and new ideas.

Q2 Financial Highlights

The company reported revenue of Rs. 63.14 crore in Q2FY26, marking a decline of 18.8% YoY from Rs. 77.76 crore in Q2FY25. On a sequential basis, revenue contracted marginally by 2.4% QoQ from Rs. 64.69 crore in Q1FY26. This downward trend reflects persistent challenges in maintaining top-line growth momentum despite achieving a 3-year sales CAGR of 2%.

Profitability showed sharper deterioration with Q2FY26 profit plunging to just Rs. 0.07 crore, down 92.8% YoY from Rs. 0.97 crore in Q2FY25 and 88.3% QoQ from Rs. 0.60 crore in Q1FY26. The company’s 3-year profit CAGR stands at -16%, highlighting sustained margin pressure. However, ROE managed a 3-year CAGR of 6%, suggesting relatively stable equity returns despite the profit decline.

Written By Fazal Ul Vahab C H

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