Vesuvius India Ltd, a prominent player in the refractories sector, has made a significant move by announcing its first-ever stock split in 2025.
This decision is poised to enhance liquidity and broaden retail investor participation in the company’s shares.
Understanding the Stock Split
Ratio: 1, meaning each existing share will be split into 10 shares.
Record Date: Tuesday, June 10, 2025. This is the crucial date for determining which shareholders are eligible for the stock split. Investors holding shares of Vesuvius India will receive the split shares.
Old Face Value: ₹10 per share
New Face Value: ₹1 per share
What is a Stock Split?
A stock split is a corporate action in which a company increases the number of its outstanding shares by dividing each existing share. While the number of shares increases, the total market capitalization and value of investor holdings remain unchanged. It is often done to make shares more accessible to retail investors by reducing the price per share.
Why Companies Do Stock Splits
Enhanced Liquidity: Lower share price typically leads to increased trading activity.
Retail Accessibility: More affordable prices can draw in a wider investor base.
What It Means for You as an Investor
If you hold 100 shares of Vesuvius India before the split, you will own 1,000 shares after.
The total investment value remains the same, but the price per share will be adjusted accordingly.
Key Dates
- Record Date for Stock Split: June 10, 2025
- Record Date for Dividend: May 1, 2025
- Annual General Meeting (AGM): May 8, 2025
Investors holding shares on the record date will be eligible to receive the newly split shares and the dividend, subject to shareholder approval at the AGM.
Dividend Announcement
Alongside the stock split, Vesuvius India has declared a dividend of ₹14.50 per equity share for the financial year ending December 31, 2024. This translates to a 145% payout, marking one of the highest dividends in the company’s history. The dividend is subject to approval at the AGM scheduled for May 8, 2025.
Financial Performance
In its Q4 FY2024 results, Vesuvius India reported a net profit of ₹59.93 crore, a 5.01% increase compared to the same period in the previous year. Net sales also saw a rise, climbing 22.83% year-on-year to ₹507.49 crore.
Market Reaction
Following the announcement, Vesuvius India’s stock price saw a notable increase, reflecting positive investor sentiment. The company’s market capitalization has also seen significant growth, indicating strong investor confidence.
Investor Takeaway
The 1:10 stock split and the generous dividend payout are strategic moves by Vesuvius India to enhance shareholder value and attract a broader investor base. Investors should mark the key dates and consider the company’s strong financial performance when evaluating their investment decisions.
Conclusion.
The announcement of a 10:1 stock split by Vesuvius India in 2025 is a strategic move aimed at enhancing the accessibility and liquidity of its shares. By reducing the price per share, the company intends to attract a broader base of retail investors, potentially increasing trading volumes and overall market interest in the stock.
For more detailed information and updates, investors are encouraged to monitor official announcements from Vesuvius India and consult with financial advisors.
Anurag Dhole is a seasoned journalist and content writer with a passion for delivering timely, accurate, and engaging stories. With over 8 years of experience in digital media, she covers a wide range of topics—from breaking news and politics to business insights and cultural trends. Jane's writing style blends clarity with depth, aiming to inform and inspire readers in a fast-paced media landscape. When she’s not chasing stories, she’s likely reading investigative features or exploring local cafés for her next writing spot.
- ANURAG DHOLEhttps://indiatadkha.com/author/bitlancetechhubgmail-com/
- ANURAG DHOLEhttps://indiatadkha.com/author/bitlancetechhubgmail-com/
- ANURAG DHOLEhttps://indiatadkha.com/author/bitlancetechhubgmail-com/
- ANURAG DHOLEhttps://indiatadkha.com/author/bitlancetechhubgmail-com/
