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DIGJAMLMTD - Digjam

📊 NSE: DIGJAMLMTD 🏢 Textiles - Products 📅 Last Updated: 12/13/2025 21:34

📢 Recent Corporate Announcements

Digjam Q3 FY26 Net Profit at ₹51.22 Lakhs; New Company Secretary Appointed

🔵 WATCH ⭐ 7/10

EARNINGS 📅 05 Feb 2026, 08:59 PM

Digjam Limited reported a net profit of ₹51.22 lakhs for Q3 FY26, recovering from a loss of ₹174.29 lakhs in the preceding quarter. Total income for the quarter was ₹703.52 lakhs, showing growth from ₹535.58 lakhs in the same period last year. The company appointed Mr. Ritesh Krishna Kumar Mishra as the new Company Secretary following the resignation of Ms. Daman Preet Kaur. Management highlighted a working capital deficit of ₹2,120.15 lakhs but remains confident due to an ongoing demerger scheme with Reid and Taylor International.

Reported a net profit of ₹51.22 lakhs vs a loss of ₹174.29 lakhs in the previous quarter
Revenue from operations increased to ₹698.09 lakhs from ₹535.18 lakhs year-on-year
Current liabilities exceed current assets by ₹2,120.15 lakhs as of December 31, 2025
Ongoing Scheme of Arrangement for demerger of Reid and Taylor International's textile unit into Digjam
Mr. Ritesh Krishna Kumar Mishra appointed as CS and Compliance Officer effective February 05, 2026

💡 Investors should monitor the execution of the Reid and Taylor demerger and the management's plan to resolve the working capital gap. The shift back to profitability is encouraging, but the underlying liquidity concerns require a cautious approach.

Digjam Q3 Revenue Rises 30% to ₹6.98 Cr; Net Profit Declines to ₹0.51 Cr

🔵 WATCH ⭐ 7/10

EARNINGS 📅 05 Feb 2026, 08:57 PM

Digjam Limited reported a 30.4% YoY increase in revenue from continued operations to ₹698.09 lakhs for the quarter ended December 31, 2025. However, total net profit for the period fell to ₹51.22 lakhs from ₹152.17 lakhs in the previous year, impacted by losses in discontinued operations. The company faces a significant working capital deficit of ₹2,120.15 lakhs, though management remains confident in a turnaround through a proposed demerger with Reid and Taylor International. Additionally, the company appointed Mr. Ritesh K. Mishra as the new Company Secretary and Compliance Officer.

Revenue from operations grew 30.4% YoY to ₹698.09 lakhs in Q3 FY26.
Net profit for the quarter stood at ₹51.22 lakhs, a sharp decline from ₹152.17 lakhs in the same quarter last year.
Current liabilities exceed current assets by ₹2,120.15 lakhs as of December 31, 2025.
The company is awaiting regulatory approvals for the demerger of Reid and Taylor International's textile unit into Digjam.
Mr. Ritesh K. Mishra appointed as Company Secretary & Compliance Officer effective February 05, 2026.

💡 Investors should closely monitor the progress of the Reid and Taylor demerger and the company's ability to liquidate assets worth ₹5,318.53 lakhs to address its working capital deficit. The stock remains a speculative turnaround candidate given the ongoing restructuring and discontinued manufacturing at Jamnagar.

Digjam Limited Board Addresses BSE and NSE Fines for Compliance Officer Appointment Delay

🔴 NEGATIVE ⭐ 4/10

REGULATORY 📅 05 Feb 2026, 08:55 PM

Digjam Limited's Board of Directors met on February 05, 2026, to review fines imposed by BSE and NSE regarding a delay in appointing a Compliance Officer. The violation pertains to Regulation 6 of the SEBI (LODR) Regulations, 2015. The Board has acknowledged the lapse and confirmed that the penalties have already been paid within the required timelines. To prevent future violations, the Board has instructed the management to adopt a backward planning approach for regulatory adherence.

Fines were levied by both BSE and NSE for non-compliance with SEBI (LODR) Regulation 6.
The specific violation was the delay in the appointment of a mandatory Compliance Officer.
The Company has already settled the fine payments within the applicable regulatory timelines.
Board has mandated stricter diligence and a backward planning approach for future compliance.

💡 This is a minor administrative lapse and does not impact the company's fundamentals. Investors should monitor for any recurring compliance issues that might suggest systemic governance weaknesses.

Digjam Q3 Net Profit at ₹51.22 Lakhs; Revenue from Continued Ops Up 30% YoY

🔵 WATCH ⭐ 7/10

EARNINGS 📅 05 Feb 2026, 08:47 PM

Digjam Limited reported a net profit of ₹51.22 lakhs for Q3 FY26, a significant decrease from ₹152.17 lakhs in the previous year's corresponding quarter. Revenue from continued operations showed strength, growing 30.4% YoY to ₹698.09 lakhs, though discontinued operations weighed on the bottom line. The company is currently managing a working capital deficit of ₹2,120.15 lakhs but is banking on a proposed scheme of arrangement with Reid and Taylor International. Additionally, the board has appointed Mr. Ritesh Krishna Kumar Mishra as the new Company Secretary and Compliance Officer.

Revenue from continued operations increased to ₹698.09 lakhs in Q3 FY26 from ₹535.18 lakhs in Q3 FY25.
Total net profit for the quarter fell to ₹51.22 lakhs compared to ₹152.17 lakhs in the same period last year.
Current liabilities exceed current assets by ₹2,120.15 lakhs, though the company maintains a positive net worth.
The company is progressing with a Scheme of Arrangement to demerge the textile undertaking of Reid and Taylor International into Digjam.
Mr. Ritesh Krishna Kumar Mishra appointed as Company Secretary & Compliance Officer effective February 05, 2026.

💡 Investors should closely monitor the regulatory approvals for the Reid and Taylor merger, as it is a critical catalyst for the company's future scale. The working capital deficit and reliance on asset sales for liquidity remain key risk factors to track.

Digjam Q3 Net Profit at ₹51.22 Lakhs; Revenue Grows 30% YoY to ₹698.09 Lakhs

🔵 WATCH ⭐ 7/10

EARNINGS 📅 05 Feb 2026, 08:45 PM

Digjam Limited reported a net profit of ₹51.22 lakhs for the quarter ended December 31, 2025, showing recovery from a loss of ₹174.29 lakhs in the previous quarter. Revenue from operations grew 30.4% year-on-year to ₹698.09 lakhs, though it saw a sequential decline from Q2. The company is managing a significant working capital deficit of ₹2,120.15 lakhs, supported by assets held for sale valued at ₹5,318.53 lakhs. A key future catalyst remains the proposed demerger of the textile undertaking from Reid and Taylor International into Digjam.

Net Profit of ₹51.22 lakhs in Q3 FY26 compared to a loss of ₹174.29 lakhs in Q2 FY26.
Revenue from operations increased 30.4% YoY to ₹698.09 lakhs from ₹535.18 lakhs.
Current liabilities exceed current assets by ₹2,120.15 lakhs, highlighting liquidity risks.
Appointment of Mr. Ritesh Krishna Kumar Mishra as Company Secretary and Compliance Officer effective February 05, 2026.
The demerger scheme with Reid and Taylor International is pending requisite regulatory approvals.

💡 Investors should closely monitor the progress of the Reid and Taylor demerger and the company's ability to liquidate assets to bridge its working capital gap. The stock remains a high-risk turnaround play dependent on structural restructuring.

Digjam Reports Q3 Net Profit of ₹51.22 Lakhs; Appoints New Company Secretary

🔵 WATCH ⭐ 7/10

EARNINGS 📅 05 Feb 2026, 08:37 PM

Digjam Limited reported a net profit of ₹51.22 lakhs for the quarter ended December 31, 2025, recovering from a loss of ₹174.29 lakhs in the preceding quarter. However, revenue from operations saw a sharp sequential decline of 50.6%, falling to ₹698.09 lakhs from ₹1,413.99 lakhs in Q2 FY26. The company continues to face a working capital deficit of ₹2,120.15 lakhs, though management remains confident in its 'going concern' status through asset sales and a pending merger. Additionally, the company announced the appointment of Mr. Ritesh Krishna Kumar Mishra as the new Company Secretary following the resignation of Ms. Daman Preet Kaur.

Net profit for Q3 FY26 stood at ₹51.22 lakhs versus a loss of ₹174.29 lakhs in Q2 FY26.
Revenue from operations decreased significantly to ₹698.09 lakhs from ₹1,413.99 lakhs in the previous quarter.
Current liabilities exceed current assets by ₹2,120.15 lakhs as of December 31, 2025.
The demerger of Reid and Taylor International's textile undertaking into Digjam is pending regulatory approvals.
Mr. Ritesh Krishna Kumar Mishra appointed as Company Secretary & Compliance Officer effective February 05, 2026.

💡 Investors should closely monitor the progress of the Reid and Taylor demerger and the company's ability to resolve its ₹2,120.15 lakh working capital deficit through asset realizations. While the return to profitability is a positive sign, the sharp sequential revenue drop warrants caution.

Digjam Q3 Continued Ops Profit Jumps 125% to ₹88.8 Lakhs; New CS Appointed

🔵 WATCH ⭐ 7/10

EARNINGS 📅 05 Feb 2026, 08:32 PM

Digjam Limited reported a 30.4% YoY increase in revenue from continued operations to ₹698.09 lakhs for the quarter ended December 31, 2025. While profit from continued operations rose significantly to ₹88.80 lakhs, the overall net profit declined to ₹51.22 lakhs from ₹152.17 lakhs in the previous year due to losses in discontinued operations. The company is currently managing a working capital deficit of ₹2,120.15 lakhs but remains a going concern with plans to realize assets worth ₹5,318.53 lakhs. Additionally, the board appointed Mr. Ritesh Krishna Kumar Mishra as the new Company Secretary following the resignation of Ms. Daman Preet Kaur.

Revenue from continued operations increased 30.4% YoY to ₹698.09 lakhs in Q3 FY26.
Profit from continued operations surged 125% YoY to ₹88.80 lakhs compared to ₹39.35 lakhs in Q3 FY25.
Overall net profit for the quarter fell to ₹51.22 lakhs from ₹152.17 lakhs in the year-ago period.
Current liabilities exceed current assets by ₹2,120.15 lakhs, indicating significant liquidity pressure.
The company is awaiting regulatory approvals for the demerger of Reid and Taylor International's textile unit into Digjam.

💡 Investors should closely monitor the progress of the Reid and Taylor demerger scheme as it is critical for the company's future scale. Caution is advised regarding the company's liquidity position, given that current liabilities significantly exceed current assets.

Digjam Limited Files Quarterly SEBI Compliance Certificate for December 2025

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 14 Jan 2026, 06:32 PM

Digjam Limited has submitted its compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations for the quarter ended December 31, 2025. The filing confirms that all share dematerialization and rematerialization requests were processed and listed on the stock exchanges within the stipulated time limits. The company's Registrar and Share Transfer Agent (RTA), MCS Share Transfer Agent Limited, verified that physical certificates were mutilated and cancelled. This is a standard regulatory disclosure ensuring the integrity of the company's shareholding records.

Compliance certificate filed for the quarter ended December 31, 2025.
Confirmation that securities received for dematerialization were listed on BSE and NSE.
Physical share certificates were mutilated and cancelled by the RTA after due verification.
Depository names were substituted in the register of members within the required timeframe.

💡 This is a routine administrative filing with no impact on company fundamentals; no action is required from investors.

Digjam Ltd to Close Trading Window from Jan 1, 2026 for Q3 FY26 Results

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 24 Dec 2025, 03:16 PM

Digjam Limited has announced the closure of its trading window for all designated persons and their relatives starting January 1, 2026. This closure is a mandatory regulatory requirement under SEBI (Prohibition of Insider Trading) Regulations, 2015, ahead of the declaration of financial results for the quarter ending December 31, 2025. The window will remain closed until 48 hours after the un-audited financial results are made public. The specific date for the board meeting to approve these results will be communicated separately.

Trading window closure begins on January 1, 2026.
Closure is in relation to the un-audited financial results for the quarter ended December 31, 2025.
Restriction applies to all Designated Persons and their immediate relatives.
The window will reopen 48 hours after the official declaration of the quarterly results.

💡 This is a routine regulatory filing and does not impact the company's fundamentals. Investors should monitor for the upcoming board meeting date to track the release of quarterly earnings.

Digjam Limited Clarifies Recent Share Price Movement to BSE and NSE

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 17 Dec 2025, 01:08 PM

Digjam Limited has responded to clarification requests from BSE and NSE regarding recent significant movements in its share price. The company stated that it has consistently disclosed all material events and price-sensitive information as required under Regulation 30 of SEBI LODR Regulations. Management confirmed that there is no undisclosed information that could explain the volatility. The company maintains that the price movement is purely market-driven and beyond the control of the promoters or management.

Response submitted to BSE and NSE on December 17, 2025, following exchange queries dated December 16, 2025.
Company confirms full compliance with Regulation 30 of SEBI Listing Obligations and Disclosure Requirements.
Management attributes recent price volatility to market conditions rather than internal corporate developments.
No undisclosed price-sensitive information exists that would impact the stock's performance.
Digjam Limited (Scrip Code: 539979) reiterated its commitment to timely future disclosures.

💡 Investors should exercise caution as the company has confirmed no fundamental news is driving the recent price movement. The volatility appears speculative, and decisions should be based on the company's financial performance rather than recent price trends.

Digjam Receives Stock Exchange Approval for Scheme of Arrangement with Reid & Taylor

🔵 WATCH ⭐ 9/10

M&A 📅 09 Dec 2025, 06:17 PM

Digjam Limited has received 'no adverse objection' letters from both BSE and NSE regarding its proposed Scheme of Arrangement with Reid & Taylor International Private Limited (RTIL). This regulatory clearance allows the company to proceed with filing the scheme before the National Company Law Tribunal (NCLT). A critical disclosure reveals that public shareholding in Digjam is projected to decrease significantly from 25% to 5.48% following the implementation of the scheme. The merger remains subject to further approvals from shareholders, creditors, and the NCLT.

Received 'no adverse objection' from BSE on December 5, 2025, and NSE on December 8, 2025.
Proposed Scheme of Arrangement involves the demerger/merger between Reid & Taylor International Private Limited and Digjam Limited.
Public shareholding in Digjam is expected to drop from 25% to 5.48% post-implementation.
The observation letters are valid for six months, within which the company must submit the scheme to the NCLT.
The scheme is still subject to statutory approvals from the NCLT, shareholders, and creditors.

💡 Investors should be cautious of the significant equity dilution for public shareholders (from 25% to 5.48%) and evaluate if the business synergies with Reid & Taylor justify the reduced stake. Monitor upcoming NCLT hearing dates and shareholder voting notices for further clarity.

Digjam Receives BSE 'No Adverse Objection' for Reid & Taylor Merger; Public Stake to Drop to 5.48%

🔵 WATCH ⭐ 9/10

M&A 📅 09 Dec 2025, 04:14 PM

Digjam Limited has received a 'no adverse objection' letter from BSE regarding its proposed Scheme of Arrangement with Reid & Taylor International Private Limited (RTIL). A critical disclosure in the regulatory letter indicates that public shareholding in Digjam is projected to decrease significantly from 25% to 5.48% following the merger. The company is now cleared to file the scheme with the National Company Law Tribunal (NCLT) within the next six months. While this marks a major regulatory milestone, the substantial equity dilution for existing public shareholders is a key factor for investors to monitor.

Received BSE 'no adverse objection' on December 5, 2025, for the scheme with Reid & Taylor International.
Public shareholding in Digjam Limited is projected to drop from 25% to 5.48% post-merger implementation.
The observation letter is valid for six months, during which the company must submit the scheme to the NCLT.
The scheme remains subject to final approvals from the NCLT, statutory authorities, shareholders, and creditors.

💡 Investors should carefully evaluate the business synergies of the Reid & Taylor integration against the massive 78% reduction in the public shareholding percentage. Monitor NCLT hearing dates and the upcoming explanatory statement for detailed valuation and swap ratio justifications.

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💰 Financial Performance

Revenue Growth by Segment

Total operating income for the worsted fabrics segment declined by 92.05% from INR 11.19 Cr in FY19 to INR 0.89 Cr in FY20, following a 81.6% decline from INR 60.46 Cr in FY18.

Geographic Revenue Split

100% of manufacturing operations are concentrated at the sole facility in Jamnagar, Gujarat; specific geographic sales split is not disclosed in available documents.

Profitability Margins

Net margins are deeply negative; the company reported a PAT loss of INR 17.58 Cr in FY20 and INR 44.36 Cr in FY19. For 9MFY19, the net loss was INR 29.72 Cr on an income of INR 7.04 Cr.

EBITDA Margin

PBILDT margin was negative at -1,561.8% in FY20 (INR -13.90 Cr on INR 0.89 Cr revenue) compared to -237.7% in FY19 (INR -26.60 Cr on INR 11.19 Cr revenue).

Capital Expenditure

Property, Plant and Equipment (PPE) decreased from INR 58.93 Cr in 2024 to INR 0.09 Cr in 2025, primarily due to the reclassification of INR 57.14 Cr as 'Non-Current Asset held for Sale'.

Credit Rating & Borrowing

The company carries a 'CARE D' (Single D) rating as of 2018, signifying default or expected default. Borrowing costs are not specified, but the company faced ongoing delays in servicing term loan principal and interest.

⚙️ Operational Drivers

Raw Materials

Worsted yarn and wool (implied by worsted fabric manufacturing); specific percentage of total cost is not disclosed in available documents.

Capacity Expansion

Current installed capacity is 5.50 million meters of worsted fabric at the Jamnagar facility; no expansion plans are detailed in the current reporting period.

Raw Material Costs

Not disclosed as a specific percentage of revenue for FY25; however, historical production was suspended due to the inability to fund working capital for procurement.

Manufacturing Efficiency

Capacity utilization is significantly low or zero during periods of production suspension; total operating income fell to just INR 0.89 Cr in FY20.

📈 Strategic Growth

Growth Strategy

The primary strategy is the merger with Reid & Taylor International Private Limited (RTIL). This aims to achieve business synergies, brand consolidation, and operational restructuring to exit the stressed financial state.

Products & Services

Worsted fabrics, fine suitings, and textile manufacturing services.

Brand Portfolio

Digjam, Reid & Taylor (via proposed merger).

Market Expansion

The company is focusing on the merger with RTIL to stabilize its market position in the premium suiting segment.

Strategic Alliances

Scheme of Arrangement with Reid & Taylor International Private Limited (RTIL) and oversight by the AFINQUEST Group.

🌍 External Factors

Industry Trends

The textile industry is seeing consolidation of legacy brands under new management groups (like AFINQUEST) to resolve insolvency and leverage established brand equity.

Competitive Landscape

Competes in the premium worsted suiting market; key dynamics involve high working capital requirements and brand-driven consumer demand.

Competitive Moat

The company's moat is its long-standing brand heritage (established 1948) and specialized manufacturing capacity for worsted fabrics, though this is currently weakened by financial distress.

Macro Economic Sensitivity

High sensitivity to credit availability and interest rates; the company's ability to operate is directly tied to its liquidity position.

⚖️ Regulatory & Governance

Industry Regulations

Operations are subject to textile manufacturing standards and pollution norms; the company must comply with SEBI Listing Obligations (LODR) for its merger process.

Taxation Policy Impact

Current Tax Assets (Net) stood at INR 1.56 Lakhs in 2025, down from INR 60.51 Lakhs in 2024.

Legal Contingencies

The company underwent Corporate Insolvency Resolution Process (CIRP) initiated by NCLT Ahmedabad on April 26, 2019. It is currently processing a Scheme of Arrangement with RTIL which received a 'no adverse objection' from BSE in December 2025.

⚠️ Risk Analysis

Key Uncertainties

The primary uncertainty is the successful implementation and integration of the RTIL merger, which will dilute public shareholding by approximately 78% (from 25% to 5.48%).

Geographic Concentration Risk

100% of manufacturing is concentrated in Jamnagar, Gujarat, creating high regional risk.

Third Party Dependencies

High dependency on financial institutions for working capital; production was previously suspended due to lack of liquidity.

Technology Obsolescence Risk

The company noted that while audit trails were not enabled in previous accounting software, they are now preserving records in accordance with statutory requirements.