Near-zero finance cost textile company based in Gujarat announces record date for 1:2 stock split

Varvee Global Limited (formerly Aarvee Denims and Exports Limited) has scheduled March 02, 2026, as the Record Date to determine shareholder eligibility for a 1:2 stock split. Under this corporate action, which received shareholder approval via postal ballot on February 19, 2026, each existing equity share with a face value of Rs 10 will be subdivided into two equity shares with a face value of Rs 5 each. These newly split shares will rank pari-passu in all respects with the existing shares, effectively doubling the number of shares held by investors while maintaining the same total paid-up capital value.

The company has also significantly scaled its manufacturing capabilities in Ahmedabad, boosting non-denim shirting and suiting fabric production by 6 lakh meters per month. This expansion—increasing total capacity from 12 lakh to 18 lakh meters—was achieved through operational optimisation and reflects the new management’s strategic shift toward product diversification. By leveraging advanced production processes to maintain high-quality standards, the company is now better positioned to meet rising market demand and explore new business opportunities. This milestone serves as a critical step in Varvee's long-term roadmap to reach a 50 lakh meter monthly capacity, underscoring its commitment to growth beyond its traditional denim roots.

About the Company

Established in 1988 and formerly known as Aarvee Denims and Exports Ltd, Varvee Global Ltd is a vertically integrated textile manufacturer based in Ahmedabad that specialises in denim, non-denim, shirting and suiting fabrics. Following a strategic management takeover and restructuring in 2025, the company achieved a Bank debt-free status and shifted its focus toward high-value diversification, including the launch of a new Consultation and Advisory Division and the expansion of its non-denim production capacity from 12 lakh to 18 lakh meters per month (targeting 50 lakh). Operating primarily from its composite facility in Narol, the company manages end-to-end production—from in-house yarn spinning to finishing—while maintaining a sustainable energy footprint through 20.5 MW of wind power capacity.

The company has undergone a significant financial turnaround in the first full quarter under its new management team, marked by a 79.8 per cent YoY surge in Revenue from Operations. This operational shift led to a swing to a positive EBITDA of Rs 13.85 crore with an impressive 49.75 per cent margin, supported by near-zero finance costs that signal successful balance sheet repair. The broader FY25 performance further highlights this recovery, with net sales reaching Rs 42 crore and a net profit of Rs 19 crore—a dramatic reversal from the Rs 45 crore loss recorded in FY24.

Disclaimer: The article is for informational purposes only and not investment advice.