Digjam LimitedQ1 FY27 Results & Financial Update
Digjam Limited: Q1 FY27 standalone results and company financials – revenue ₹7.46 Cr, PAT ₹0.82 Cr. Explore reported YoY/QoQ movements, margins, business drivers and management commentary. This page does not provide a rating, target price or investment recommendation.
Find an answer
Ask this result
Chart · Market context
Digjam price & chart
Quarter overview
Quarterly earnings analysis
Digjam Limited reported revenue from operations of INR 7.4579 crore (INR 745.79 lakhs) for the quarter ended June 30, 2026, alongside total income of INR 7.5950 crore.
Profit before tax from continuing operations stood at INR 0.8743 crore (INR 87.43 lakhs), while net profit for the period—incorporating a net loss of INR 0.0500 crore from discontinued operations—totaled INR 0.8243 crore.
Basic and diluted earnings per share for continuing and discontinued operations combined reached INR 0.41 for the quarter.
The statutory auditors drew attention to a material uncertainty regarding the company's ability to continue as a going concern, noting that current liabilities exceeded current assets by INR 21.0775 crore as of June 30, 2026.
Management has prepared the financial statements on a going concern basis supported by strategic plans, including the realization of non-core assets, cost optimization, and a proposed scheme of arrangement.
Manufacturing operations at the Jamnagar facility remain discontinued since March 31, 2025, with related assets classified as non-current assets held for sale under Ind AS 105 at a carrying value of INR 53.1853 crore.
Profit after tax was ₹0.82 Cr for the reported quarter. EPS was ₹0.41 for the reported quarter.
01 · Business model
What does Digjam do?
Digjam Limited operates in the textile and apparel sector, historically specializing in the manufacturing and distribution of fine suitings and fabric products.
Following the discontinuation of operations at its sole manufacturing facility in Jamnagar effective March 31, 2025, the company's operational model shifted towards trading and strategic restructuring.
The company's primary business activities fall within a single business segment under Ind AS 108, governed by ongoing corporate restructuring initiatives and non-core asset realizations.
02 · Historical context
What shaped the business before this quarter
Operations at the company's sole manufacturing facility located at Jamnagar were discontinued effective March 31, 2025, and related assets were classified as non-current assets held for sale under Ind AS 105.
On June 29, 2025, the Board of Directors approved a Scheme of Arrangement involving Digjam and Reid and Taylor International Private Limited (RTIL) for the demerger of RTIL's textile undertaking into Digjam.
03 · Financial snapshot
Current-quarter financial snapshot
| Metric | Q1 FY27 |
|---|---|
| Revenue from operations | ₹7.46 Cr |
| Total income | ₹7.60 Cr |
| Profit before tax | ₹0.87 Cr |
| Profit after tax | ₹0.82 Cr |
| EPS | ₹0.41 |
Financial interpretation
What the reported numbers mean
Profit after tax represented 11.1% of reported quarterly operating revenue. This is a calculated net-profit-to-sales ratio, not a company-reported operating margin. It measures the outcome after expenses and tax; it does not, by itself, establish how margins changed versus another period.
Profit before tax was equivalent to 11.7% of quarterly operating revenue. The distinction between pre-tax and post-tax profit matters when interpreting earnings; neither ratio identifies an underlying cost driver without a properly matched comparative period.
Total income exceeded operating revenue by ₹0.14 crore. This is the disclosed difference between the two lines, not incremental sales. The distinction matters when assessing how much of the quarter’s reported income came from the operating top line.
Ratios above are calculated from the reported quarterly figures. They are analytical descriptions, not company-reported margin guidance or an investment recommendation.
04 · Why it moved
Why the quarter looked the way it did
What drove revenue
Generated INR 7.4579 crore in revenue from operations for Q1 FY27, reflecting trading and continuing business activities following the cessation of in-house manufacturing.
Contributed INR 0.1371 crore to total income during the quarter.
What drove margins
Purchases of stock-in-trade stood at INR 6.5301 crore, offset by a positive inventory change of INR 1.1940 crore in finished goods and stock-in-trade.
Employee benefit expenses were INR 0.3844 crore, and other expenses amounted to INR 0.9877 crore during the quarter.
Finance costs were negligible at nil for the quarter, while depreciation and amortization stood at INR 0.0125 crore.
05 · Capacity, projects & execution
What is being built, commissioned or delivered
Capacity, production and utilisation
The sole manufacturing plant at Jamnagar remains non-operational, with assets categorized as held for sale.
06 · Strategy & new businesses
How the company is trying to change its growth mix
Pending scheme implementation, the demerger of the textile undertaking of Reid and Taylor International Private Limited into Digjam awaits regulatory approvals and fulfillment of conditions.
07 · Reported developments
What changed operationally
The company recorded a net profit of INR 0.8243 crore and total comprehensive income of INR 0.8291 crore for Q1 FY27.
08 · Pressure points & risks
What is not going smoothly
Auditors highlighted material uncertainties regarding the going concern status due to a working capital deficit and discontinued manufacturing operations.
09 · Items worth noticing
The line items that can distort a quick read
Discontinued operations recorded a net loss of INR 0.0500 crore for the quarter.
10 · Cash flow & balance sheet
Profit is one thing. Cash and funding tell another part of the story.
Current liabilities exceeded current assets by INR 21.0775 crore as of June 30, 2026.
11 · Beyond the numbers
What changed beyond the numbers
Asset Held for Sale Valuation
Assets related to the discontinued Jamnagar manufacturing facility are carried at INR 53.1853 crore under non-current assets held for sale in accordance with Ind AS 105.
12 · Key Q&A
The quarter, answered directly
What does Digjam do?
Digjam Limited operates in the textile and apparel sector, historically specializing in the manufacturing and distribution of fine suitings and fabric products.
What is the clearest takeaway from Q1 FY27?
Digjam Limited reported revenue from operations of INR 7.4579 crore (INR 745.79 lakhs) for the quarter ended June 30, 2026, alongside total income of INR 7.5950 crore.
What drove revenue or demand?
Generated INR 7.4579 crore in revenue from operations for Q1 FY27, reflecting trading and continuing business activities following the cessation of in-house manufacturing.
What mattered most for margins or profitability?
Purchases of stock-in-trade stood at INR 6.5301 crore, offset by a positive inventory change of INR 1.1940 crore in finished goods and stock-in-trade.
What changed operationally beyond the headline numbers?
The sole manufacturing plant at Jamnagar remains non-operational, with assets categorized as held for sale.
What are the main pressure points disclosed for the quarter?
Auditors highlighted material uncertainties regarding the going concern status due to a working capital deficit and discontinued manufacturing operations.
13 · Scenario calculator
Earnings sensitivity: what if growth and margins change?
Build your own next-quarter scenario
Reported values are prefilled where a comparable basis is available. Otherwise, the field starts at 0. You can overwrite every field.
Example: enter 10 for 10% revenue growth. Enter -100 for a 1 percentage-point margin decline.
The calculator holds the selected margin basis constant except for the basis-point adjustment you enter. It does not estimate tax, finance cost, dilution, working capital, valuation or share price.
14 · Next filing checkpoints
What the next disclosure can confirm or change
- 01
Non-Core Asset Realization: Track management's execution of asset sales to address the working capital deficit and support going concern viability.
Learn the metrics
Need the concepts first?
Use Nivata’s plain-English guides to understand the accounting terms used in this brief before interpreting them.
