Jigar Cables revenue drops 45% while profits stay flat
The nano-cap cable maker reported revenue of ₹56.66 crore for FY26 as it funnels ₹14.43 crore into new factory capacity.
— 1 earlier story on Jigar Cables Ltd. →What's new
- Revenue fell to ₹56.66 cr from ₹103.15 cr in the prior year.
- Net profit held steady at ₹1.75 cr despite the top-line contraction.
- Capital work-in-progress reached ₹14.43 cr, signaling a major factory expansion.
Why this matters
Jigar Cables maintained bottom-line stability despite a nearly halved top line, pointing to improved margins or aggressive cost cutting. The jump in capital work-in-progress to ₹14.43 crore is a large bet for a company with a market cap of ₹59 crore.
What we're watching
- The operational timeline for the new manufacturing capacity.
- Whether margins can sustain this level as revenue continues to shrink.
- Execution risk on a major capex project relative to the current equity base.
The full read
Jigar Cables faced a difficult FY26, with revenue tumbling 45% to ₹56.66 crore from ₹103.15 crore a year earlier. Yet, the company avoided a profit collapse, keeping net earnings flat at ₹1.75 crore. This divergence suggests the firm is either shedding low-margin volume or has tightened its belt significantly. Management is betting the future on capacity, parking ₹14.43 crore into capital work-in-progress—a substantial sum for a business with a market capitalization of only ₹59 crore. Funding this expansion, the company converted share warrants into 1.98 million equity shares at ₹50.35 apiece, pulling in ₹7.48 crore. With auditors signing off on an unmodified opinion, the accounting is clean. The challenge now is whether this ₹14.43 crore factory build can arrest the revenue decline or if the company is simply building capacity for a market that is leaving it behind.
Questions answered
- How did the company maintain profitability amid a 45% revenue drop?
- Net profit remained nearly flat at ₹1.75 crore, suggesting effective cost control or a shift toward higher-margin products.
- Did the company raise any external capital during the year?
- Yes, Jigar Cables converted share warrants into equity at ₹50.35 per share, raising ₹7.48 crore.
Jigar Cables Ltd.
Latest quarter · Mar 2026
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All notes on JIGAR →- 21 May 2026 · 7:21 PM IST Jigar Cables revenue drops 45% while profits stay flat
- 61d ago Jigar Cables revenue drops 45% as expansion project starts