E-Land Apparel Limited has announced a significant change in its leadership structure with the resignation of Mr. Heegu Shin from his dual role as Whole-time Director and Chief Financial Officer. The resignation became effective from the close of business hours on January 5, 2026, marking the end of his tenure with the textile company.

Resignation Details and Timeline

The company received Mr. Shin's resignation letter on January 5, 2026, the same date it was submitted. In his resignation communication, Mr. Shin cited preoccupation and certain personal commitments as the primary reasons for his departure from the company. The resignation letter was formally addressed to the Board of Directors and submitted from Bangalore.

Formal Documentation and Compliance

In his formal resignation letter, Mr. Shin explicitly confirmed that there are no other material reasons for his resignation beyond those stated. He requested the Board of Directors to acknowledge receipt of his resignation and relieve him of his duties and responsibilities accordingly. The departing executive also specifically requested the company to file the necessary e-forms with the Registrar of Companies, Bangalore, to formalize his resignation.

Regulatory Compliance and Stock Exchange Intimation

E-Land Apparel Limited has fulfilled its regulatory obligations by informing BSE Limited about the leadership change under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company's communication to the stock exchange was signed by Managing Director Dongju Kim on January 6, 2026, and included comprehensive annexures detailing the resignation specifics.

Company Information and Leadership Structure

E-Land Apparel Limited, incorporated in 1997, operates from its registered office at Sri Vinayaka Industrial Estate, Singasandra, Bangalore, Karnataka. The company is listed on BSE and operates in the textiles sector with CIN L17110KA1997PLC120558. The leadership transition comes as the company continues its operations under the guidance of Managing Director Dongju Kim (DIN: 08060629).

The resignation represents a significant change in the company's financial leadership structure, with the dual role of CFO and Whole-time Director now requiring replacement to maintain operational continuity in the small-cap textile company.

E-Land Apparel Limited , a player in the Indian garment industry, has reported a significant increase in losses for the quarter ended September 30, 2025, raising concerns about its financial stability. The company's unaudited financial results, approved by the Board of Directors on November 11, 2025, reveal a challenging fiscal landscape.

Financial Performance

E-Land Apparel reported a net loss of Rs 1,943.51 lakhs for Q2 FY2026, a substantial increase from the Rs 506.85 lakhs loss in the previous quarter. This widening loss comes despite a revenue from operations of Rs 3,374.68 lakhs for the quarter.

Here's a breakdown of the key financial metrics:

Going Concern Issues

The company's auditors have highlighted that accumulated losses have eroded E-Land Apparel's net worth, indicating material uncertainty about its ability to continue as a going concern. As of September 30, 2025, the company's balance sheet shows:

• Total assets: Rs 28,839.67 lakhs
• Total liabilities: Rs 79,767.91 lakhs
• Negative equity: Rs (50,928.24) lakhs

Despite these concerns, the company maintains it will continue operations based on a positive outlook for the garment industry and confirmed financial support from its holding company.

Management's Stance

E-Land Apparel's management has prepared the financial results under the going concern assumption. They cite a positive outlook for the garment industry and financial support from the holding company as reasons for their continued operations.

Cash Flow and Liquidity

The cash flow statement reveals some concerning trends:

• Net cash used in operating activities: Rs (189.71) lakhs
• Net cash used in investing activities: Rs (2,148.99) lakhs
• Net cash generated from financing activities: Rs 2,436.90 lakhs

The company's cash and cash equivalents stood at Rs 403.73 lakhs at the end of the period, down from Rs 2,230.47 lakhs in the previous comparable period.

Conclusion

E-Land Apparel's financial results for Q2 FY2026 paint a picture of a company facing significant challenges. The widening losses, eroded net worth, and going concern issues highlighted by auditors suggest a critical juncture for the company. While management remains optimistic about the future of the garment industry and cites support from its holding company, investors and stakeholders may need to closely monitor the company's performance and turnaround efforts in the coming quarters.