Shares of small-cap IT company Silver Touch Technologies Ltd are currently in the spotlight. The company has announced the record date for a 1:5 stock split and a 1:1 bonus issue, which led to a strong rally in the stock.
During the day’s trading, the company’s market capitalization stood at around ₹1,708 crore. The stock hit its 5% upper circuit at ₹1,347.20, higher than its previous closing price of ₹1,283.05.
Investors showed strong enthusiasm following the announcement of this corporate action.
Contents
Record Date and Corporate Action Details
The company has fixed Friday, March 6, 2026, as the record date.
1:5 Stock Split
Currently, one share has a face value of ₹10. After the split:
Each ₹10 share will be divided into five shares of ₹2 each.
This means if you own 1 share before the record date, you will hold 5 shares after the split.
1:1 Bonus Issue
After the stock split, the company will issue bonus shares in a 1:1 ratio.
This means you will receive one bonus share for every one share you hold after the split.
These bonus shares will be issued from the company’s free reserves.
Financial Performance of the Company
The company has shown strong financial growth:
Revenue increased from ₹74 crore in December 2024 to ₹96 crore in December 2025, reflecting a growth of about 29.5%.
Net profit rose from ₹5 crore to ₹11 crore during the same period.
Key financial ratios:
ROCE: 22%
ROE: 17.6%
Debt-to-equity ratio: 0.33 (indicating healthy debt management)
Profit has grown at a CAGR of 32.8% over the past five years.
Business Overview and Operations
Founded in 1995 and headquartered in Ahmedabad, the company provides end-to-end digital transformation solutions and holds a CMMI Level 5 rating.
Its key service areas include:
Cloud services
SAP solutions
E-governance
Software development
Analytics
The company operates in India, the US, the UK, and Canada. So far, it has completed over 4,000 projects and served more than 2,000 clients.
Revenue Mix and Order Book
In terms of business segments:
51% revenue comes from Software Services
20% from E-Governance
15% from System Integration
9% from ERP Implementation
5% from Cloud and Facility Management
The company has a strong order book of ₹650 crore, out of which:
60% is recurring revenue
40% consists of new orders