The state-owned mini Ratna company has approved an issue of bonus shares in the ratio 1:1 at the board held today and the standalone net profit for the April-June quarter has more than doubled.
The state-owned mini Ratna company has approved an issue of bonus shares in the ratio 1:1 at the board held today. The bonus shares shall not be entitled to dividend to be declared at ensuing Annual Meeting of the Company, if declared/approved by the shareholders, company said in an exchange filing. The standalone net profit for the April-June quarter has more than doubled to Rs 97.73 crore as compared to Rs 47.15 in the previous year for the same period.
The total income for the quarter ended June 2017 rose 55.7% to Rs 381.66 crore versus Rs 245.11 crore in the April-June quarter of the previous fiscal. The main agenda of the board meeting was to consider the proposals related to issue of bonus shares and the increase in authorised share capital, along with first quarter earnings release. Shares of MOIL Ltd ended in red today, down 0.58% to Rs 334 on NSE.
The earnings per share have seen a massive spike of 161.2% at Rs 7.34 per equity share as compared to Rs 2.81 per equity share in the previous fiscal for the same period. The company also announced an increase in the authorized share capital from Rs 250 crores to Rs 300 crores, divided into equity shares of Rs 10 each and change in the Memorandum of Association of the company which is subject to the approval of the shareholders.
During the Financial year 2010-11, MOIL got listed on December 2010 on NSE and BSE. After the listing, the shareholding in the company, of the government of India, Maharashtra and Madhya Pradesh was at 71.57%, 4.62% and 3.81% respectively. Rest 20% shares are held by the public.
MOIL was incorporated as Manganese Ore (India) Limited in the year 1962 but was originally set up in the year 1896 as Central Province Prospecting Syndicate which was later renamed as Central Provinces Manganese Ore Company Limited (CPMO), a British Company incorporated in the UK. In 1962, as a result of an agreement between the Government of India and CPMO, the assets of the latter were taken over by the government and MOIL was formed with 51% capital held between the government of India and the state governments of Maharashtra and Madhya Pradesh and the balance 49% by CPMO. It was in 1977, the balance 49% shareholding was acquired from CPMO and MOIL became a 100% Government Company under the administrative control of the Ministry of Steel.