Digjam LimitedQ2 FY27 Results & Financial Update
Digjam Limited: Q2 FY27 standalone results and company financials – revenue ₹9.93 Cr, PAT ₹1.36 Cr. Explore reported YoY/QoQ movements, margins, business drivers and management commentary. This page does not provide a rating, target price or investment recommendation.
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Chart · Market context
Digjam price & chart
Quarter overview
Quarterly earnings analysis
Digjam Limited reported standalone revenue from operations of INR 9.93 crore (INR 992.66 lakhs) for the quarter ended September 30, 2026, marking a sequential expansion compared to INR 7.46 crore (INR 745.79 lakhs) posted in the preceding quarter ended June 30, 2026.
Profit before tax from continuing operations stood at INR 1.40 crore (INR 139.58 lakhs) for Q2 FY27, improving from INR 0.87 crore (INR 87.43 lakhs) in Q1 FY27. Net profit after tax from continuing operations similarly advanced to INR 1.36 crore (INR 135.66 lakhs).
Discontinued operations exerted a minor drag of INR 0.04 crore (INR 3.92 lakhs loss) during the quarter, bringing total net profit for the period to INR 1.36 crore (INR 135.66 lakhs) after incorporating comprehensive income items.
Basic and diluted earnings per share from continuing operations rose to INR 0.70 for the quarter compared to INR 0.44 in the previous quarter, while combined basic EPS stood at INR 0.68.
Statutory auditors drew attention to a material uncertainty regarding going concern, noting that current liabilities exceeded current assets by INR 19.72 crore (INR 1,971.80 lakhs) as of September 30, 2026, and that Jamnagar manufacturing assets valued at INR 53.18 crore (INR 5,318.53 lakhs) remain classified as held for sale.
Management prepared the financial results on a going concern basis, relying on planned asset realization, cost optimization, ongoing restructuring, and the proposed scheme of arrangement.
01 · Business model
What does Digjam do?
Digjam Limited operates in the textile sector, historically manufacturing and marketing fine worsted suitings and fabrics. Following structural changes, its manufacturing operations at its sole facility in Jamnagar were discontinued effective March 31, 2025, with related assets classified as non-current assets held for sale under Ind AS 105.
The company generates its operational revenue through trading activities, specifically purchases and sales of stock-in-trade, while maintaining corporate structures and working toward asset realisation and restructuring.
Digjam is navigating a transition phase focused on cost optimization, restructuring of its cost base, and a proposed scheme of arrangement involving Reid and Taylor International Private Limited.
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, with related assets reclassified 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 the demerger of the textile undertaking of Reid and Taylor International Private Limited into Digjam with an appointed date of July 1, 2025.
03 · Financial snapshot
Current quarter vs the available comparable
| Metric | Q2 FY27 | Previous quarter |
|---|---|---|
| Revenue from operations | ₹9.93 Cr | ₹7.46 Cr |
| Total income | ₹9.93 Cr | ₹7.60 Cr |
| Profit before tax | ₹1.40 Cr | ₹0.87 Cr |
| Profit after tax | ₹1.36 Cr | ₹0.82 Cr |
| EPS | ₹0.68 | ₹0.41 |
Financial interpretation
What the reported numbers mean
Profit after tax represented 13.7% 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 14.1% 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.
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
With the Jamnagar manufacturing plant discontinued, revenue is driven entirely by trading operations, reflected in stock-in-trade purchases of INR 7.39 crore (INR 738.90 lakhs) during Q2 FY27.
Operating revenue grew sequentially to INR 9.93 crore in Q2 FY27 from INR 7.46 crore in Q1 FY27, supported by inventory adjustments.
What drove margins
Changes in inventories of finished goods and stock-in-trade provided a positive adjustment of INR 0.86 crore (INR 85.92 lakhs) to margins during the quarter.
Other expenses stood at INR 1.59 crore (INR 159.46 lakhs) and employee benefit expenses were INR 0.40 crore (INR 39.88 lakhs) for the quarter.
Finance costs for continuing operations remained nil for the quarter, compared to INR 0.34 crore in the corresponding period of the previous year.
05 · Segments, products & geography
Which parts of the business are doing the work
Segments and products
The company's business activity falls within a single business segment in terms of Ind AS 108 on Operating Segments.
06 · Capacity, projects & execution
What is being built, commissioned or delivered
Capacity, production and utilisation
The sole manufacturing facility at Jamnagar remains non-operational following its closure effective March 31, 2025.
07 · Strategy & new businesses
How the company is trying to change its growth mix
The proposed demerger of the textile undertaking of Reid and Taylor International Private Limited into Digjam awaits requisite regulatory approvals and fulfillment of conditions before taking effect.
08 · Reported developments
What changed operationally
Standalone net profit from continuing operations improved to INR 1.36 crore in Q2 FY27 from INR 0.87 crore in Q1 FY27.
09 · Pressure points & risks
What is not going smoothly
Statutory auditors highlighted material uncertainty regarding the company's ability to continue as a going concern due to negative net current assets and discontinued manufacturing operations.
10 · Cash flow & balance sheet
Profit is one thing. Cash and funding tell another part of the story.
As of September 30, 2026, current liabilities exceeded current assets by INR 19.72 crore (INR 1,971.80 lakhs), driven by trade payables of INR 13.61 crore and short-term borrowings of INR 33.07 crore.
Net cash used in operating activities for the half year ended September 30, 2026, stood at INR 0.32 crore (INR 32.13 lakhs).
Capital allocation & funding
Non-current borrowings stood at INR 27.06 crore (INR 2,706.21 lakhs) and current borrowings were unchanged at INR 33.07 crore (INR 3,307.00 lakhs) as of September 30, 2026.
11 · Beyond the numbers
What changed beyond the numbers
Change of Registrar and Share Transfer Agent
The board approved changing the RTA from MCS Share Transfer Agent Limited to MUFG Intime India Private Limited to leverage enhanced technological capabilities and investor servicing infrastructure.
12 · Previous-quarter changes
What changed since the previous quarter
Revenue from operations increased from INR 7.46 crore in Q1 FY27 to INR 9.93 crore in Q2 FY27.
13 · Key Q&A
The quarter, answered directly
What does Digjam do?
Digjam Limited operates in the textile sector, historically manufacturing and marketing fine worsted suitings and fabrics. Following structural changes, its manufacturing operations at its sole facility in Jamnagar were discontinued effective March 31, 2025, with related assets classified as non-current assets held for sale under Ind AS 105.
What is the clearest takeaway from Q2 FY27?
Digjam Limited reported standalone revenue from operations of INR 9.93 crore (INR 992.66 lakhs) for the quarter ended September 30, 2026, marking a sequential expansion compared to INR 7.46 crore (INR 745.79 lakhs) posted in the preceding quarter ended June 30, 2026.
What drove revenue or demand?
With the Jamnagar manufacturing plant discontinued, revenue is driven entirely by trading operations, reflected in stock-in-trade purchases of INR 7.39 crore (INR 738.90 lakhs) during Q2 FY27.
What mattered most for margins or profitability?
Changes in inventories of finished goods and stock-in-trade provided a positive adjustment of INR 0.86 crore (INR 85.92 lakhs) to margins during the quarter.
What changed operationally beyond the headline numbers?
The sole manufacturing facility at Jamnagar remains non-operational following its closure effective March 31, 2025.
What are the main pressure points disclosed for the quarter?
Statutory auditors highlighted material uncertainty regarding the company's ability to continue as a going concern due to negative net current assets and discontinued manufacturing operations.
14 · Scenario calculator
Earnings sensitivity: what if growth and margins change?
Build your own next-quarter scenario
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Example: enter 10 for 10% revenue growth. Enter -100 for a 1 percentage-point margin decline.
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15 · Next filing checkpoints
What the next disclosure can confirm or change
- 01
Asset Monetisation: Execution of management's plans for the realization of non-current assets held for sale valued at INR 53.18 crore.
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