Tata Elxsi hits 52-week high on 1:1 bonus share

The stock hit a 52-week high of Rs 1,767, up 5% on BSE in intra-day trade

Tata Elxsi hit a 52-week high of Rs 1,767, up 5% on BSE in intra-day trade, after the company’s board recommended 1:1 bonus share.

“The board at its meeting held on July 27, 2017 has, subject to the approval of the shareholders, recommended the capitalization of its reserves for issuance of bonus shares to the shareholders in the ratio of 1 (one) bonus equity share of Rs 10 each fully paid-up for every 1(one) existing equity share of Rs 10 each fully paid-up (in the ratio of 1:1) held by the shareholders as on the "Record date" to be fixed for the purpose,” Tata Elxsi said in a statement.

Meanwhile, the company engaged in IT software products reported 19% year on year growth in its net profit at Rs 50 crore in June quarter (Q1FY18). The company had profit of Rs 42 crore in the same quarter year ago.

Revenues from operations during the quarter grew 9% to Rs 323 crore from Rs 296 crore in the corresponding quarter of previous fiscal.

At 3:16 am, the stock was up 3.3% at Rs 1,734 on BSE, as compared to a marginal 0.02% rise in the S&P BSE Sensex. The trading volumes on the counter jumped multiple-fold with 2.63 million shares changing hands on BSE and NSE so far.