Shares of Tirupati Innovar Ltd gained nearly 5 percent on Monday after the company announced that its board will meet on June 19, 2026, to consider a bonus share issue and a stock split.
The stock was last trading at ₹9.62, up 4.91 percent from the previous close of ₹9.17. The company commands a market capitalization of ₹68.91 crore and trades at a price-to-earnings ratio of 35.63.
Bonus issue on the agenda
The board will consider issuing bonus shares to existing shareholders.
However, the ratio has not yet been disclosed and will be decided at the meeting.
The proposal will require shareholder approval.
Bonus shares are issued by capitalising reserves and do not involve any fresh fund raising.
Board to consider 1:10 stock split
Another proposal before the board is a subdivision of equity shares.
Under the proposal:
- One share with a face value of ₹10 will be split into ten shares of Re 1 each.
- Shareholder approval will be required.
- The move is aimed at improving liquidity and lowering the trading price per share.
Following the rights issue completed in April 2026, the company’s outstanding equity capital stands at around 7.09 crore shares.
If approved, the stock split would increase the number of shares to approximately 70.9 crore.
Corporate actions come after April rights issue
The proposed bonus issue and stock split come less than two months after the company raised around ₹47 crore through a rights issue.
Both measures would result in a further increase in the number of outstanding shares.
Revenue revival after years of weak operations
Formerly known as Tirupati Tyres Ltd, the company changed its name during FY26.
Its financial performance had remained subdued for several years.
From FY19 to FY23, the company reported either zero or negligible operating revenue and recorded losses in some years.
In FY24, there was no operating revenue. Net profit stood at ₹0.09 crore, supported entirely by other income.
FY25 marked the first year of meaningful business activity in several years.
FY25 performance
- Revenue: ₹10.99 crore
- Net profit: ₹1 crore
According to data available on Screener, trailing twelve-month revenue stood at ₹80.52 crore, driven mainly by:
- September 2025 quarter: ₹48.53 crore
- December 2025 quarter: ₹21 crore
The company had reported zero operating revenue in the June 2025 quarter, while posting net profit of ₹0.68 crore, supported by ₹1.11 crore of other income.
Working capital metrics remain stretched
Some financial indicators remained under pressure during FY25.
Key metrics include:
- Debtor days: 418
- Working capital days: 1,971
- Operating cash flow: Negative ₹4.46 crore
- Net profit: ₹1 crore
- ROCE: 2.34 percent
- ROE: 1.84 percent
- CFO-to-operating profit ratio: -914 percent
According to the March 2026 shareholding pattern, the company had no promoter holding.
Public shareholders owned 100 percent of the equity.
The Managing Director and Chief Financial Officer positions are held by the same individual.
About the company
Tirupati Innovar Limited, incorporated in 1988, was formerly known as Tirupati Tyres Limited.
The company is listed on the BSE and the Metropolitan Stock Exchange of India. Historically, it has been involved in the trading and manufacturing of tyres and allied products.
For FY25, it reported standalone revenue of ₹10.99 crore and net profit of ₹1 crore, compared with nil operating revenue and net profit of ₹0.09 crore in FY24.
TL;DR
Tirupati Innovar shares rose nearly 5 percent after the company announced a June 19 board meeting to consider a bonus issue and a 1:10 stock split. The proposals come shortly after a ₹47 crore rights issue completed in April 2026.
AI Summary
- Tirupati Innovar gained nearly 5 percent.
- The board will meet on June 19 to consider a bonus issue.
- A 1:10 stock split is also on the agenda.
- The company completed a ₹47 crore rights issue in April.
- Public shareholders currently own 100 percent of the company.
