Saksoft Announces Its First-Ever Bonus Issue: Know the Record Date

Bonus Shares: A Reward for Shareholders

On Wednesday, Saksoft declared that it would issue one bonus share for every four shares held by shareholders as of the record date. The company has fixed September 13, 2024, as the record date for this bonus issue, aiming to enhance shareholder value and marketability of its shares.

This initiative is Saksoft’s first foray into issuing bonus shares, underscoring its positive financial health and optimistic future outlook. Previously, in 2022, the company had executed a stock split, dividing one equity share of Rs 10 face value into ten equity shares of Rs 1 each, making the shares more accessible to a broader range of investors.

Strong Financial Performance in Q1 FY24

Saksoft’s financial results for the June quarter further reinforce the company’s growth trajectory. The company reported a sequential revenue growth of 3.1%, reaching Rs 201 crore. Additionally, Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) saw a 5.2% increase from the March quarter, amounting to ₹35 crore. This robust performance highlights Saksoft’s ability to sustain and enhance its operational efficiencies.

Revenue Streams and Market Distribution

A significant portion of Saksoft’s revenue originates from the Asia Pacific market, with the remaining contributions coming from the US and Europe. This geographical diversification enables the company to mitigate regional risks and capitalize on global opportunities.

Strategic Business Reorganization

Saksoft has strategically reorganized its operations into four high-growth verticals: Fintech, Hitech, Media & Utilities, and Transport & Logistics. This reorganization is aimed at sharpening its focus on these sectors, which are poised for substantial growth. Notably, the Fintech, Hitech, and Media & Utilities segments collectively contributed to 73% of Saksoft’s overall revenue, indicating the company’s strategic alignment with market demands.

Market Performance

Despite the positive developments and strong financial results, Saksoft’s shares experienced a slight dip, trading down by 1.6% at Rs 294.7 on Thursday. Throughout 2024, the stock has seen an 8% decline, with a relatively flat performance in August. This trend suggests a period of consolidation for the stock, potentially setting the stage for future growth driven by the company’s strategic initiatives and solid financial foundation.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.