U.H. Zaveri Limited Completes Rights Issue, Triples Paid-up Equity Share Capital

UH Zaveri Limited has successfully completed a significant rights issue, substantially increasing its paid-up equity share capital. The Board of Directors, in a meeting held on November 12, 2025, approved the allotment of new shares, marking a major development for the company and its shareholders.

Key Details of the Rights Issue

Aspect	Details
Number of Shares Allotted	2,03,88,000
Issue Price per Share	₹10.00
Type of Shares	Fully paid-up equity shares
Allotment To	Eligible equity shareholders and renouncees

Impact on Share Capital

The rights issue has had a substantial impact on the company's paid-up equity share capital:

Aspect	Amount (in ₹)
Previous Paid-up Capital	10,19,40,000.00
New Paid-up Capital	30,58,20,000.00
Increase in Capital	20,38,80,000.00

This represents a tripling of UH Zaveri's paid-up equity share capital, a significant expansion that may have implications for the company's financial structure and future operations.

Process and Compliance

The allotment was finalized in consultation with Kfin Technologies Limited, the Registrar to the Issue, and BSE Limited, which served as the Designated Stock Exchange. This process ensures compliance with regulatory requirements and fair allotment practices.

The rights issue follows a series of earlier intimations by the company, dating back to March 19, 2025, indicating a planned and structured approach to this capital raising initiative.

Board Meeting Details

Date: November 12, 2025
Time: Commenced at 6:00 p.m. and concluded at 7:45 p.m.
Key Decision: Approval of share allotment under the rights issue

The completion of this rights issue marks a significant milestone for UH Zaveri Limited, potentially providing the company with additional capital for its business operations and growth strategies.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.94%	-9.45%	-21.19%	+71.87%	+0.54%	+166.67%

UH Zaveri Limited, a company listed on the Bombay Stock Exchange (BSE: 541338), has released its unaudited financial results for the second quarter and first half of the fiscal year 2026, ending September 30, 2025. The results show a mixed performance with revenue growth but a decline in profitability compared to the same period last year.

Financial Highlights

Particulars (in Rs. lakhs)	Q2 FY2026	Q2 FY2025	H1 FY2026	H1 FY2025
Revenue from Operations	1,078.27	671.32	1,638.13	1,222.50
Total Revenue	1,078.27	669.56	1,638.13	1,222.94
Total Expenses	1,075.76	663.26	1,633.55	1,198.32
Profit Before Tax	2.51	6.30	4.58	24.62
Net Profit	2.01	4.30	3.58	18.62

Key Observations

Revenue Growth

UH Zaveri Limited reported a significant increase in revenue from operations, with Q2 FY2026 revenue up by 60.6% year-over-year to Rs. 1,078.27 lakhs. For the first half of FY2026, revenue grew by 34% to Rs. 1,638.13 lakhs compared to the same period last year.

Profitability Decline

Despite the revenue growth, the company experienced a decline in profitability. Net profit for Q2 FY2026 decreased by 53.3% to Rs. 2.01 lakhs, compared to Rs. 4.30 lakhs in Q2 FY2025. For H1 FY2026, net profit fell by 80.8% to Rs. 3.58 lakhs from Rs. 18.62 lakhs in H1 FY2025.

Expense Management

Total expenses increased proportionally with revenue growth. In Q2 FY2026, expenses rose to Rs. 1,075.76 lakhs from Rs. 663.26 lakhs in Q2 FY2025, an increase of 62.2%.

Balance Sheet Position

As of September 30, 2025, the company's total assets stood at Rs. 2,903.45 lakhs, a decrease from Rs. 3,270.13 lakhs as of March 31, 2025. The company's inventory levels decreased to Rs. 2,346.15 lakhs from Rs. 2,573.33 lakhs over the same period.

Borrowings

Long-term borrowings decreased to Rs. 849.35 lakhs as of September 30, 2025, from Rs. 1,244.81 lakhs at the end of the previous fiscal year, indicating a reduction in the company's debt burden.

Management Commentary

The Board of Directors, led by Managing Director Hitesh Mahendrakumar Shah, approved these unaudited financial results in a meeting held on November 4, 2025. The company's Audit Committee reviewed and recommended the financial results before the board's approval.

Market Implications

Following the announcement of these results, the trading window for designated persons and their immediate relatives, which had been closed since October 1, 2025, will reopen 48 hours after the public disclosure of the financial results.

UH Zaveri Limited operates within a single primary business segment. The company's performance reflects the challenges and opportunities in the Indian retail jewelry sector, with strong revenue growth potentially offset by increased operational costs and market pressures affecting profitability.