KIMS shares hit lifetime high on ex-date announcement for 1:5 stock split
KIMS share price zoomed after the hospital chain on Tuesday announced that it has set September 13, 2024, as the record date for its 5-for-1 stock split
 "KIMS shares hit lifetime high on ex-date announcement for 1:5 stock split")
Shares of Krishna Institute of Medical Sciences (KIMS) recorded their lifetime high at Rs 2564.15 per share, up 3.55 per cent on the BSE in Wednesday’s intraday deals.
KIMS share price zoomed after the hospital chain on Tuesday announced that it has set September 13, 2024, as the record date for its 5-for-1 stock split.
Shareholders on record as of this date will receive the split shares, the company said in an exchange filing.
“KIMS has fixed Friday, September 13, 2024, as ‘record date’ to determine the eligibility of shareholders of the company for split of 1 one equity share having face value of Rs10 each, full paid-up, be subdivided into five equity shares having face value of Rs 2 each, fully paid-up, ranking pari-passu in all respects and as approved by the shareholders in the 22nd Annual General Meeting held on August 29, 2024,” the company said.
A 1:5 stock split means that for every one share a shareholder owns, they will receive five new shares. A stock split is a corporate action that increases the number of shares a company has outstanding by issuing additional shares to current shareholders. This move is intended to make the stock more affordable, boost liquidity, and expand the investor base.
KIMS Hospitals reported a 29 per cent decline in consolidated net profit, amounting to Rs 65.4 crore for the March quarter of the financial year 2023-24. In comparison, the company had earned a net profit of Rs 93.2 crore in the corresponding period of the previous year.
The multispecialty hospital chain, operating in Andhra Pradesh and Telangana, disclosed that revenue for the quarter increased by 10 per cent to Rs 634 crore. In the same period last year, it reported revenue from operations amounting to Rs 576 crore.
At 11:34 AM; the share of the company was 1.05 per cent higher at Rs 2590.95 per share on the BSE. By comparison, the BSE Sensex was trading 0.51 per cent lower at 82,132 levels.
The shares of KIMS are presently trading at a price to earnings multiple of 87.92 times with an earning per share of Rs 29.17.