HMA Agro announces stock split in four months post-listing

Recently-listed HMA Agro Industries announced to split off its equity shares. The company had decided to divide its equity shares in just four months of Dalal Street debut. The company informed about the same through an exchange filing along with its results for the September 2023 quarter.

The company has announced the stock split in a 1:10 ratio. The record date for the sub-division of equity shares shall be decided by the Board and will be intimated to the exchanges later on, it said.

The company board considered the proposal for sub-division of one equity share of with a face value of Rs 10 each into ten equity shares having face value of Re 1 each, subject to regulatory/statutory approvals as may be required and the approval of the shareholders of the company, it said.

Shares of HMA Agro Industries dropped about 6 per cent to Rs 655.10, commanding a total market capitalization of more than Rs 3,300. The scrip had settled at Rs 694.20 in the previous trading session on Wednesday.

HMA Agro reported a 54 per cent fall in revenue to Rs 1,200.2 crore for the September 2023 quarter, which was Rs 775.8 crore in the year-ago period. Net profit in the second quarter tanked 74 per cent to Rs 9.55 crore in Q2FY24 from Rs 34.46 crore in the Q2FY23. EBITDA crashed 76 per cent to Rs 27.80 crore in the quarter.

HMA Agro raised Rs 480 crore from its primary stake sale in June this year. The company offered its shares for Rs 585 apiece and was listed on July 4, 2023. The stock has delivered a return of around 20 per cent from its issue price.

Agra-based HMA Agro Industries is a food trade organisation for handled food and agro products including frozen fresh deglanded buffalo meat, prepared/frozen natural products, vegetables, and cereals in India. Incorporated in 2008, HMA Agro is among the largest exporters of frozen buffalo meat products from India, which exports to more than 40 countries across the globe.

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