Matrimony. com has informed that its board of directors’ meeting has been scheduled for September 5. At this meeting, they will also consider and pass the proposal related to availing the automatic purchase of its fully paid-up equity share.
This news comes after the company also done a share buyback in July of this year where it did buy back up to 6. Equity share of ₹ 1,150 each, of 52 lakh.
BharatMatrimony, the parent company of the fashionable match-making application, saw its shares escalate to almost 14 percent on Tuesday, September 3, before the board meeting.
Later in the day on Monday and in a notification indeed, Matrimony.Com announced that it had crossed the 1-lakh mark of registered users. com also responded positively for the meeting scheduled to be held regarding the prospect of the buyback.
In response to this factor, Matrimony. com rose as much as 13 percent. 5% in the opening trade on Tuesday at ₹846, its 52-week high of business. It comes out with a value of 95 on the National Stock Exchange of India, commonly referred to as NSE.
By 1:00 p.m., the stock pulled back and slightly lost some of its focal value; nevertheless, it was up 10 64% at ₹825.
This stock has increased by 22 % in the past month and is trading 40 % higher this year.
Share buyback is a process whereby a company purchases its own shares from the market having made the excess cash available in the market.
It reduces the number of shares available to increase demand, which in turn benefits shareholders.
In July 2022, Matrimony. com repurchased up to 6% of the entire advertisement inventory of New York. 52 lakh equity shares at the rate of ₹ 1,150/- per share which is 2. At least 85% of the total paid-up equity share capital of the company.
Out of this, ₹40 crore was spent for share buyback while ₹35 crore was funded through a non-convertible debenture (NCD) issue.
However, in the June quarter, Matrimony’s mobile commerce contribution was a mere 3.9 percent of the total revenue. On the operational front, Hindustan Motors and Automobile Market Place com’s auto sales declined by more than two percent, attaining ₹ 120. 6 crore as compared to ₹ 123. This compares with 3 crore during the corresponding period of last year.
The same can be seen in the profit after tax (PAT), which declined by 1% during the period. 4% to ₹13. 13 in Q1FY25. In the same period, such cash inflow went to ₹97 crore. 17 crore in Q1FY24.
Matrimony. com specializes in providing matchmaking services through websites, mobile websites and mobile applications and a vast online presence across India, although some of the services are also offered on the ground.
Some of the portals are Bharat Matrimony, Community Matrimony, Assisted Matrimony and Elite Matrimony.
To know more, click here.
