India-based Godfrey Phillips reported a strong Q1 FY25 performance with net profit up 56% YoY, triggering a 9% share price jump. A 2:1 bonus issue and final dividend record date announcement added to investor optimism.
Cigarette and FMCG manufacturer Godfrey Phillips India witnessed a sharp 9.15% intraday surge in its stock price on Monday, climbing to ₹9,805.50, following the announcement of robust financial performance for Q1 FY25 and a 2:1 bonus share issuance.
The momentum in the stock aligns with its recent trajectory—up 15% over the past month and delivering an impressive 109% return over the last six months—despite broader market volatility.
Q1 FY25 Financial Performance
For the quarter ended June 2025, the company posted a 56% YoY increase in net profit, totaling ₹356.3 crore, compared to ₹228.5 crore in the same quarter last year. Revenue also experienced strong double-digit growth, climbing 36.6% YoY to ₹1,486 crore, up from ₹1,088 crore.
Operationally, EBITDA rose 25.3% to ₹338 crore, though the EBITDA margin moderated to 22.7% from 24.8% in Q1 FY24. This margin compression, despite stronger top-line growth, reflects inflationary cost pressures and strategic reinvestments in core segments.
Also Read: ITC’s Q1: Flat Profit, Rising Revenue, Market Reacts Positively
Bonus Share and Dividend Update
The board of Godfrey Phillips India also declared a 2:1 bonus issue, meaning eligible shareholders will receive two fully paid equity shares of ₹2 each for every one fully paid equity share they hold. This issuance will capitalize ₹2,079.76 lakh from the company’s general reserves or retained earnings and is contingent on shareholder and regulatory approval.
The record date for bonus share eligibility is Tuesday, September 16, while the record date for the final dividend for FY 2024–25 has been fixed as Friday, August 22.
Additionally, the company’s board has approved an increase in its authorized share capital—from ₹25 crore to ₹50 crore—indicating potential future expansions or strategic capital deployment.
The strong Q1 showing and capital distribution actions signal management’s confidence in sustained earnings momentum and balance sheet health. With volumes steady and cash generation strong, the company appears to be positioning for enhanced shareholder returns and long-term value creation.
Equity analysts are watching closely as Godfrey Phillips leverages its premium brand portfolio and distribution efficiencies to outperform peers amid macroeconomic headwinds.
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