5:11 Bonus Shares: IT stock hits 10% upper circuit after board sets record date for bonus issue

Synopsis: Sylph Technologies Limited sets Wednesday, December 17, 2025, as the record date to allot 5:11 bonus shares, granting five new shares of Re. 1 for every eleven shares held.

This Penny IT stock, engaged in software development, IT services, solar power trading, newspaper publishing, education, BPO/KPO, FMCG distribution, agriculture trading, and renewable energy solutions, hit a 10 percent upper circuit after the company’s board set a record date for a 5:11 bonus issue.

With a market capitalization of Rs. 75.45 crores, the shares of Sylph Technologies Limited hit a 10 percent upper circuit of Rs. 0.94 per share on Friday, up from its previous closing price of Rs. 0.86 per share. Since then, the stock has retreated and is currently trading at Rs. 0.89 per equity share. 

What is the News?

Sylph Technologies Limited’s Board of Directors has fixed Wednesday, December 17, 2025, as the Record Date for determining the eligibility of shareholders for the allotment of Bonus Equity Shares. 

The board has decided to issue bonus shares at a ratio of 5:11, meaning that shareholders will receive five new fully paid-up equity shares of Re. 1 each for every eleven existing fully paid-up equity shares they hold. 

For example, if a shareholder owns 1,100 shares of Sylph Technologies Limited, they will receive 500 bonus shares, bringing their total holding to 1,600 shares after the 5:11 bonus issue. 

Company Overview

Sylph Technologies Limited, established in 1992 in Indore, is primarily an information technology and software development company. It focuses on creating customised software, business applications, websites, and IT solutions for clients across different sectors. 

Over the years, the company has diversified slightly and is also involved in newspaper printing and publishing, along with limited trading-related activities, though these remain secondary to its technology operations.

Sylph Technologies mainly builds software and provides IT services, helping businesses with digital solutions and consulting support. The company also prints and publishes a local newspaper. Its presence is mainly in India, where it continues to serve clients through its technology-driven products and services.

Recent quarter results

Coming into financial highlights, Sylph Technologies Limited’s revenue has increased from Rs. 35 crore in Q1 FY26 to Rs. 42.92 crore in Q2 FY26, which has grown by 22.63 percent. The net profit has also grown by 244.44 percent from Rs. 1.08 crore in Q1 FY26 to Rs. 3.72 crore in Q2 FY26.

In terms of return ratios, the company’s ROCE and ROE stand at 2.81 percent and 2.63 percent, respectively. Sylph Technologies Limited has an earnings per share (EPS) of Rs. 0.04, and its debt-to-equity ratio is 0.03x.

Written By – Nikhil Naik

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