Breaking News: This Big Infrastructure Company is giving Free Bonus Shares to all its Shareholders !

Meghna Infracon Bonus Issue:Meghna Infracon Infrastructure Ltd has announced its 1:1 Bonus Issue to reward its existing shareholders. More details about this Bonus issue as well as its current business performance, and future outlook is being discussed below:

🟢 Meghna Infracon Bonus Issue

₨1:1 Bonus Issue Declared: On May 21, 2025, the Board approved a 1:1 bonus issue, meaning shareholders will receive one fully paid equity share for each share held
Record Date: Record Date is yet to be announced by the Company which will determine the eligibility for these Bonus Shares. Only those shareholders who will hold shares of the company on the Record Date, shall be eligible for the Free Bonus Shares.

📊 Recent Business Performance

Q4 FY24‑25 (Year-ended Mar 2025)

Revenue Growth: Q4 consolidated revenue was ₹12.12 crore, up ~18% YoY and ~21.6% QoQ.
Profit Surge: Net profit reached ₹3.92 crore, a massive 576% increase YoY, and ~15% jump QoQ .
High Margins: Business Standard notes an operating profit margin of approximately 31% for the quarter Full Year FY24‑25

Annual Revenue Decline: Total sales dipped ~25%, falling from ₹53.5 crore in FY23‑24 to ₹39.9 crore in FY24‑25
Profitable Turnaround: Profit after tax jumped from ₹3.17 crore to ₹9.79 crore, nearly a 3.1× increase, with EPS climbing from ₹1.37 to ₹8.51 .
Cash Flow Recovery: Cash flows from operations improved, turning positive to ₹11 crore in FY24 Market Response & Share Metrics

Stock Momentum: The share price rallied post-results, achieving a 52‑week high (~₹1,085/share) and outperforming the Sensex, up ~48% year‑to‑date
Multibagger Returns: From a low of ~₹286 last year, shares have soared ~263%, with a five-year return exceeding 7,300%
Valuation: As of June 2025, market cap stands near ₹1,160 crore, with a P/E ratio over 125, ROE at ~42%, and negligible debt (D/E ~0.15) .

🔭 Future Business Prospects

Strategic Shift: Realty & Redevelopment

New Projects: The company is focused on premier residential projects in Mumbai, notably Goregaon (“Rivaan”) and Andheri, with expected residential sales upwards of ₹22 crore and ₹60 crore respectively
Redevelopment Focus: This pivot since late 2023 from stock broking to real estate aims to tap into tier‑1 housing demand .

Financial Strength & Expansion

Low Leverage: Debt‑equity remained very low (~0.15), giving financial flexibility
Upcoming Leadership: A fresh CEO, Dhaval Lapasia, takes over July 2025, potentially bringing new growth strategies Stock Valuation & Risks

High Valuation: P/E ratio (~125) far exceeds industry average (~23), suggesting market optimism—and risk .
Cyclical & Project Risks: Real estate execution is capital‑ and time‑intensive; project delays, cost overruns, or sluggish property demand, especially in Mumbai market, could impact revenue.
Dependence on Non‑Op Income: High earnings driven by non‑recurring gains, which may not repeat; long-term sustainability hinges on core real estate revenues.

✅ Summary-Meghna Infracon Bonus Issue:

Meghna Infracon has announced a 1:1 bonus issue, rewarding current shareholders and underlining the balance sheet strength
Fiscal FY24‑25 saw stark profit growth, despite declining revenues, with notable margin expansion and cash flow recovery
The company’s strategic reorientation toward Mumbai’s premium residential real estate is promising, supported by low leverage and new project pipeline.
However, several valuation and execution risks remain — lofty P/E multiples, heavy reliance on non‑operating income, and real estate sector cyclicality.

Overall, the bonus issue and robust profitability mark a positive milestone. Long-term value, though, will depend on execution of realty projects, renewal of recurring revenues, and whether core business performance aligns with the high market expectations.

Disclaimer: Investments in Capital Market/Share Prices are subject to market fluctuations and are dependent on several factors. These predictions are based on the current market conditions and the future market expectations. Investors are advised to take into consideration all these factors before making any investment in Capital Market. This article should not be treated as Investment advisory and is for general Guidance & Educational purpose only. We keep revising our share price targets based on the latest information available with us. Please keep visiting our website regularly to keep yourself updated. News4You does not offer investment advice and does not encourage any action based on its content.

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