Stock Split on Radar as BEML Board Meet Set for July 21; Share Price in Focus

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Stock Split on Radar as BEML Board Meet Set for July 21; Share Price in Focus

BEML Ltd’s stock is likely to attract investor interest on Monday, July 14, following the company’s announcement that its board will meet on July 21, 2025, to evaluate a proposal for sub-division of its equity shares. The move, if approved, could improve share affordability and enhance liquidity.

BEML to Discuss Equity Share Split on July 21; Ratio Yet to Be Disclosed

The Bengaluru-based public sector enterprise confirmed in an exchange filing on July 11 that its board will consider the proposal for a stock split under Section 61(1)(d) of the Companies Act, 2013, during a scheduled meeting on Monday, July 21, 2025.

While the exact split ratio — such as 1:2, 1:5, or 1:10 — has not yet been disclosed, the intention behind such a move typically includes increasing the number of outstanding shares to boost market liquidity and make the stock more accessible to retail investors, particularly when the share price trades at a relatively high level.

The company further stated that the trading window for insiders remains closed from July 1 and will continue until 48 hours after the declaration of financial results, a standard regulatory practice.

Highlights:

  • Board meeting date: July 21, 2025

  • Purpose: Consideration of stock split

  • Split ratio: Yet to be announced

  • Trading window closure: From July 1 until 48 hours post-results

Also Read : Rs.4,563 Crore Equity Inflows Signal Renewed Optimism as FPIs Return as Net Buyers After Brief Pause

Export Orders Strengthen Order Book Amid Stock Split Buzz

Apart from the corporate action, BEML recently reported winning two key export contracts valued at a total of $6.23 million. One contract was from the Commonwealth of Independent States (CIS) for the supply of heavy-duty bulldozers, while the second was a first-ever order from Uzbekistan for high-performance motor graders.

These wins are expected to strengthen BEML’s export pipeline and support the company’s positioning in the international markets, especially within the infrastructure and construction machinery sectors.

Q4 and FY25 Earnings: Mixed Performance

In its earnings report for Q4 FY25, BEML posted a consolidated net profit of ₹287.55 crore, marking an 11.9% year-on-year increase compared to ₹256.80 crore in the same quarter of the previous fiscal.

Revenue during the quarter also rose to ₹1,656.36 crore, up from ₹1,518.25 crore in Q4 FY24.

However, on a full-year basis, the company reported a modest rise in profit to ₹292.52 crore (from ₹281.77 crore in FY24), but annual income fell to ₹4,045.95 crore, down from ₹4,096.56 crore the year prior — reflecting a flat-to-slightly negative growth trend in topline performance for the year.

Highlights:

  • Q4 net profit YoY growth: +11.9%

  • Q4 revenue YoY growth: +9.1%

  • FY25 profit: ₹292.52 crore (+3.8% YoY)

  • FY25 income: ₹4,045.95 crore (-1.23% YoY)

Share Price Performance and Market Reaction

On Friday, July 11, BEML shares closed 3.85% lower at ₹4,425.80 apiece on the BSE, underperforming amid broader market weakness and likely profit-booking ahead of the board meeting.

Despite the near-term dip, the company’s high share price makes it a viable candidate for a stock split, and the market could see renewed buying interest once the split ratio is announced, especially if the ratio results in significantly lower face-value pricing per share.

Investors and analysts will closely watch developments from the July 21 meeting, along with any follow-up regulatory approvals and record dates for the stock split, if approved.

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