V-Mart Retail shares slip 6% despite strong Q4 results, bonus issue announcement

Synopsis

V-Mart Retail shares experienced a diminution of 6.2% contempt affirmative fiscal news. The institution reported a nett net of Rs 19 crore for the March 2025 quarter, a important betterment from the erstwhile year. Revenue besides accrued by 17%. The committee approved a 3:1 bonus stock issue. However, the committee did not urge dividend.

Shares of V-Mart Retail fell arsenic overmuch arsenic 6.2% connected Monday to Rs 3,161.15 connected the BSE, adjacent arsenic the institution reported a turnaround successful its fiscal show for the March 2025 4th and announced a 3:1 bonus stock issue.

For the 4th ended March 2025, the worth manner retailer posted a nett net of Rs 19 crore, a crisp reversal from a nonaccomplishment of Rs 39 crore successful the aforesaid 4th a twelvemonth earlier. Revenue for Q4FY25 roseate 17% year-on-year to Rs 780 crore, up from Rs 669 crore successful the March 2024 quarter.

Operational show besides improved, with net earlier interest, tax, depreciation and amortisation (EBITDA) rising to Rs 68 crore successful the 4th fourth of FY25 from Rs 40 crore a twelvemonth ago.

Meanwhile, the company’s committee of directors approved a bonus stock contented successful the ratio of 3:1. For each 1 existing afloat paid-up equity stock of Rs 10 each, shareholders volition person 3 further shares of the aforesaid look value. The bonus contented is taxable to shareholder approval.

The grounds day for determining bonus stock eligibility volition beryllium announced later. Investors indispensable ain shares astatine slightest 1 trading time anterior to the grounds day to suffice for the bonus.

The committee did not urge a dividend for the fiscal twelvemonth 2024–25, opting to clasp net to enactment the company’s aboriginal maturation initiatives.

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Despite a 45% summation implicit the past year, V-Mart Retail shares person fallen much than 9% successful the past 3 months. The banal is presently trading beneath six of its 8 cardinal regular moving averages—the 5, 10, 20, 100, 150, and 200-DMA—suggesting prevailing bearish momentum.

The stock’s Relative Strength Index (RSI) stands astatine 64.6, indicating it is neither oversold nor overbought.

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