1. At a Glance – Smallcap With Big Drama
Market Cap ₹140 Cr.
Current Price ₹82.8.
3-Month Return: 0.29% (basically flat like a bored ECG machine).
ROCE: 5.55%.
ROE: 9.79%.
Debt to Equity: 15.0 (Yes, fifteen. Not 1.5. Fifteen.)
Q3 FY26 Sales: ₹6.42 Cr (down 41.3% YoY).
Q3 FY26 PAT: -₹2.55 Cr.
EPS (Q3 FY26): -₹1.51.
Scoobee Day Garments just delivered a quarter where operating margin went to -24.45% and profit decided to take a holiday. Meanwhile, the company recently completed a ₹4,050 lakhs rights issue and even revalued land & buildings by ₹8,600.57 lakhs in the December 2025 quarter.
So what’s happening here? Is this a struggling garment manufacturer wearing a debt overcoat? Or a smallcap that’s mid-restructuring and trying to stitch together a comeback?
Let’s open the fabric and inspect the stitching.
2. Introduction – From Kidswear to Roofing Sheets… And Losses
Scoobee Day Garments (India) Ltd was incorporated in 1995 and operates in two segments:
- Apparel & ready-made garments
- Roofing solutions (aluminium & GI sheets)
Part of the Anna-Kitex group, it makes:
- School bags
- Travel bags
- Kidswear under “Baby ScooBee”
- Undergarments
- Roofing sheets & accessories
Revenue breakup (FY23):
- Garments: ~87%
- Roofing sheets: ~10%
- Other income: ~3%
So mostly garments. Roofing is the side hustle.
But here’s where things get spicy.
FY25 income as per annual report: ₹471.07 million (₹47.1 Cr). PAT: ₹19.09 million (₹1.91 Cr). That’s decent for a ₹140 Cr market cap company.
Then Q3 FY26 hits:
Sales drop to ₹6.42 Cr.
Operating profit turns negative ₹1.57 Cr.
Net loss: ₹2.55 Cr.
What changed?
Is it seasonal?
Is it operational inefficiency?
Or is this the cost of expansion and financial engineering?
Let’s break it down calmly. Like a forensic accountant with chai.
3. Business Model – WTF Do They Even Do?
Scoobee is basically:
- A garment manufacturer
- With a big textile unit in Karur (32 acres, 6,00,000 sq ft built-up area)
- And a Palakkad unit (capacity 7,500 TPA)
