GRM Overseas Stock Jumps 2% as Promoters Boost Holdings in December Quarter
The share price of GRM Overseas, a fast-moving consumer goods (FMCG) company, climbed more than 2% during intraday trading on Wednesday. This upward movement followed the disclosure that the promoters had increased their stake in the firm during the December quarter of fiscal year 2026 (Q3FY26). The stock, which is partly owned by investor Madhu Kela, reached a daily peak of ₹164.90 on the Bombay Stock Exchange (BSE), marking a gain of 2.2%.
Currently, the stock is trading merely 11% below its 52-week high of ₹185.55, achieved in December 2025. In a remarkable contrast, it has skyrocketed by 150% from its 52-week low of ₹66.05, recorded in March 2025. Over the past year, this small-cap stock has provided multibagger returns, surging an impressive 116%. Additionally, it has advanced 35% in the last six months and 11% in the previous three months, though it experienced a slight decline of approximately 4% over the past month.
In the long term, GRM Overseas has delivered exceptional returns to its investors, with the stock soaring over 950% in the past five years, underscoring its strong performance and growth trajectory.
Promoters Elevate Stake Through Warrant Conversion and Bonus Shares
GRM Overseas Limited officially notified the stock exchanges about a change in promoter shareholding, resulting from the conversion of warrants and the allotment of bonus shares. The company announced that promoters Atul Garg, Mamta Garg, and Hukam Chand Garg have increased their stake in the FMCG entity.
In a filing submitted to both the BSE and the National Stock Exchange (NSE), the company detailed that the promoters collectively acquired an additional 1.79% stake, equivalent to 37.14 lakh shares. This acquisition occurred on February 10, 2025, through the conversion of warrants and reserved bonus shares in the target company, with each share having a face value of ₹2.
Prior to this allotment, the promoter group and persons acting in concert (PAC) held 60.64% of the company on a fully diluted basis, assuming the conversion of outstanding warrants. Following the allotment, the promoter and PAC holding increased to 12,93,65,952 equity shares, representing 62.43% of the expanded equity share capital. On a diluted basis post-conversion, the promoter holding remains steady at 60.64%.
On February 6, 2026, the company allotted 37.14 lakh equity shares of face value ₹2 each to members of the promoter group and PAC. This allotment stemmed from the conversion of previously issued warrants, along with bonus shares reserved for warrant holders. Consequently, the company’s total equity base expanded from ₹36.81 crore (18.41 crore shares) to ₹41.44 crore (20.72 crore shares).
By the end of the December quarter, promoters collectively held a 68.27% stake, up from 68.19% in the September quarter. Meanwhile, foreign portfolio investors (FPIs) owned 4.92% of the company. General public shareholders and domestic institutional investors (DIIs) held 25.18% and 1.63%, respectively.
Additionally, Singularity Equity Fund I, co-founded by Madhu Kela and his family members and categorized under the foreign institutional investor (FII) classification, maintained a 1.37% stake in the company, as indicated by BSE shareholding data.
GRM Overseas Reports Robust Q3 Financial Performance
GRM Overseas demonstrated a significant enhancement in profitability for the December quarter. For Q3FY26, the company reported a consolidated net profit of ₹19.3 crore, reflecting a substantial 42.8% year-on-year increase.
Total revenue for the quarter stood at ₹492.6 crore, up 28.9% from ₹382.2 crore in the same quarter of the previous year. The operating performance also strengthened, with earnings before interest, taxes, depreciation, and amortization (EBITDA) rising 34.1% year-on-year to ₹31.3 crore, compared to ₹23.3 crore in Q3FY25. The EBITDA margin expanded to 6.3% during the quarter, indicating improved operating leverage and efficiency.
Commenting on the quarterly results, Managing Director Atul Garg stated, “GRM Overseas recorded strong 28.9% year-on-year growth in total revenue in the third quarter of FY2026, driven by healthy demand across both domestic and international markets, while maintaining a solid foothold in global basmati rice markets despite geopolitical uncertainties.”
Looking forward, Garg added, “We remain confident of sustaining long-term growth momentum, with exports continuing as a key growth driver and domestic focus centred on strengthening the ‘10X’ brand through wider distribution, quality enhancement, diversification and disciplined execution.”
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