Synopsis: Digidrive Distributors jumped sharply after the company reported a 600% surge in Q2FY26 net profit to Rs 1.75 crore, driven by strong growth across both business segments. Revenue rose 37% YoY to Rs 15.15 crore, led by higher sales in its Trading and Publication divisions.
The shares of this leading business engaged in the E-Commerce distribution business of Music storage devices, viz. Carvaan, and its variants, are in focus after reporting a stellar performance in the latest quarter of this fiscal year, so let’s dive into the details of it.
With a market capitalization of Rs 111 crore, the shares of Digidrive Distributors Ltd reached a day’s high of Rs 29.73 per share, up 4 percent from its previous day’s closing price of Rs 28.70 per share. In the last one year, the stock has corrected by over 32 percent, as compared to NIFTY 50’s positive return of 6 percent.
Q2 Highlights
Digidrive Distributors reported a core revenue of Rs 15.15 crore in Q2 FY26, a growth of 37 percent as compared to Rs 11.09 crore in Q2 FY25. Additionally, on a quarter-on-quarter basis, it grew by 58 percent from Rs 9.59 crore.
On the expenses front, it reported total expenses of Rs 14.25 crore in Q2 FY26, a growth of 29 percent as compared to Rs 11.04 crore in Q2 FY25. Additionally, on a quarter-on-quarter basis, it grew by 44 percent from Rs 9.90 crore.
Regarding its profitability, it reported a net profit of Rs 1.75 crore in Q2 FY26, a staggering growth of 600 percent as compared to Rs 25 lakh in Q2 FY25. Additionally, on a quarter-on-quarter basis, it recorded a sharp turnaround from a loss of Rs 10 lakh.
Coming to its segmental highlights, the Trading segment in Q2FY26 recorded revenue of Rs 8.16 crore as against Rs 6.53 crore in Q2FY25, thereby reflecting a 25 percent YoY increase. On the other hand, the Publication segment reported a revenue of Rs 7 crore as compared to Rs 4.56 crore in the corresponding period of the previous year, thus indicating a robust 53 percent YoY growth.
Digidrive Distributors Limited is an India-based company that sells various retail products through online marketplaces. With its subsidiary, Open Media Network Pvt. Ltd., it is a two-segment company: Trading and Publication. Carvaan, a portable digital music player, is one of its major products, which has become popular for its retro music collection.
Apart from trading, the company is also engaged in publishing OPEN magazine, a weekly magazine that covers current affairs and lifestyle features. It offers media, printing, and marketing support services to different industries. Digidrive Distributors, founded in 2022 and headquartered in Mumbai, is a subsidiary of Composure Services Pvt. Ltd.
Write by Satyajeet Mukherjee
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