Monospool Bangladesh shares jump 31% after dividend declaration
However, the circuit breaker does not apply on the day of an annual corporate declaration, such as dividend announcements
The share price of Monospool Bangladesh, a listed company in the paper industry, surged by more than 30% following its annual corporate declaration of dividends and financials for the 2024–25 fiscal year.
Normally, the share price of any listed company can rise by a maximum of 10% in a single day under the circuit breaker limit.
However, the circuit breaker does not apply on the day of an annual corporate declaration, such as dividend announcements.
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The paper sector firm recommended a 5% cash dividend and a 15% stock dividend for the year ended 30 June 2025. Following the declaration, its share price surged by 30.47%, or Tk30.9 per share, to Tk132.30 each at the Dhaka Stock Exchange (DSE) today (2 November).
Although, the shares price of Monospool Bangladesh opened at Tk101.40 each, and its shares are traded between Tk110 to Tk305.6 each. The shares of Monospool Bangladesh were worth Tk33.03 crore yesterday, with 26.94 lakh shares traded on the DSE.
In its disclosure today, Monospool reported a 26% growth in profit, with earnings per share (EPS) rising to Tk3.76 from Tk2.98 in the previous fiscal year. The company said the 15% stock dividend will be utilised for BMRE (balancing, modernisation, rehabilitation, and expansion) initiatives and working capital, funded entirely from accumulated profits or retained earnings.
The company has not declared any stock dividend or bonus shares from its capital or revaluation reserves, unrealised gains, profits earned prior to incorporation, or by reducing paid-up capital, nor in any manner that would negatively impact post-dividend retained earnings.
On 15 September, Monospool informed that its board approved the procurement of a Hot Stamping Machine, Inkjet Litho Machines, Miyakoshi A4 Cutting Machines, and a 6TPH Steam Green Boiler, to be financed from the company's balance.
The board noted that these acquisitions will enhance post-press production quality, efficiency, and high-resolution printing capabilities, positively impacting revenue and profitability while aligning with the company's long-term business goals.
