Jigar Cables revenue drops 45% as expansion project starts
The nano-cap firm held profits steady at ₹1.75 crore despite a sharp revenue contraction, while pumping ₹14.43 crore into new capacity.
— 1 earlier story on Jigar Cables Ltd. →What's new
- Revenue dropped to ₹56.66 cr from ₹103.15 cr in FY25.
- Capital work-in-progress jumped to ₹14.43 cr, indicating a factory expansion.
- Warrant conversions brought in ₹7.48 cr in equity capital.
Why this matters
Holding net profit flat while losing nearly half of top-line revenue suggests Jigar Cables aggressively cut costs or shifted its sales mix. The firm is now betting its future on a major factory expansion, using capital raised through share conversions to fund the effort.
What we're watching
- Whether the factory expansion can return the company to top-line growth.
- The sustainability of margins given the sharp revenue decline.
- Utilization rates at the new facility once it comes online.
The full read
Jigar Cables faced a brutal FY26. Revenue cratered 45% to ₹56.66 crore from ₹103.15 crore in the previous year. Despite the top-line collapse, the company maintained a near-identical net profit of ₹1.75 crore, which suggests a significant pivot in strategy toward higher-margin products or severe expense reduction. The company is now pouring cash into growth, reporting ₹14.43 crore in capital work-in-progress—a massive jump from the nil balance carried previously. This expansion effort was supported by the conversion of share warrants into 19.80 lakh equity shares, which added ₹7.48 crore to the corporate coffers. With a market cap of only ₹59 crore, the scale of this investment is incredibly aggressive. Auditors gave the books a clean pass with an unmodified opinion. The next test is whether the new facility can actually recover the lost volume.
Questions answered
- How did Jigar Cables maintain profit despite a 45% revenue drop?
- The firm likely utilized aggressive cost control and a higher-margin product mix to keep net profit at ₹1.75 crore.
- What is the status of the company's factory expansion?
- The balance sheet now carries ₹14.43 crore in capital work-in-progress, up from zero in the previous year.
Jigar Cables Ltd.
Latest quarter · Mar 2026
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All notes on JIGAR →- 21 May 2026 · 7:30 PM IST Jigar Cables revenue drops 45% as expansion project starts
- 61d ago Jigar Cables revenue drops 45% while profits stay flat