Financial Performance Highlights

Q2 FY27 Performance (YoY Comparison)

  • Revenue: ₹2,058.7 crore vs ₹1,536.1 crore (34% growth)
  • EBITDA: ₹90.2 crore vs ₹106.5 crore (-15%)
  • EBITDA Margin: 4.4% vs 6.9% (260 bps contraction)
  • EBIT: ₹190.0 crore vs ₹105.2 crore (81% growth)
  • EBIT Margin: 9.2% vs 6.9% (240 bps expansion)
  • Profit After Tax (PAT): ₹83.5 crore vs ₹48.8 crore (71% growth)
  • PAT Margin: 4.1% vs 3.2% (90 bps expansion)

Q2 FY27 Performance (QoQ Comparison)

  • Revenue: ₹2,058.7 crore vs ₹3,056.0 crore (-33%)
  • EBITDA: ₹90.2 crore vs ₹213.1 crore (-58%)
  • EBIT: ₹190.0 crore vs ₹206.9 crore (-8%)
  • PAT: ₹83.5 crore vs ₹101.1 crore (-17%)

H1 FY27 Performance (YoY Comparison)

  • Revenue: ₹5,114.8 crore vs ₹3,362.4 crore (52% growth)
  • EBITDA: ₹391.2 crore vs ₹290.1 crore (35% growth)
  • EBITDA Margin: 7.6% vs 8.6% (100 bps contraction)
  • EBIT: ₹396.9 crore vs ₹288.8 crore (37% growth)
  • EBIT Margin: 7.8% vs 8.6% (80 bps contraction)
  • PAT: ₹187.8 crore vs ₹153.4 crore (22% growth)
  • PAT Margin: 3.7% vs 4.6% (90 bps contraction)

Operational Highlights

  • Retail Revenue Growth: 40% YoY in H1 FY27
  • Same-Store Sales Growth (SSSG): 19% in Q2, 30% in H1
  • TTM Sales: Crossed ₹10,000 crore milestone
  • Retail Expansion: Added net 14 new showrooms in H1 (7 Company-owned, 7 Franchise)
  • Total Showrooms: 215 (123 Company-owned, 92 Franchise)
  • Gold Price Range: ₹1,40,000 to ₹1,50,000 per 10 grams during quarter
  • Old Gold Exchanges: Rose to 51% in H1 FY27

Balance Sheet Updates

  • Inventory: Increased to ₹5,487.8 crore
  • Borrowings: Increased from ₹2,346.0 crore to ₹2,612.7 crore

Management Commentary

Mr. Suvankar Sen, Managing Director & CEO: Noted strong performance with 52% growth at ground level, 29% retail revenue growth, and 19% SSSG. Highlighted TTM sales surpassing ₹10,000 crore and expansion to 215 showrooms. Targeting 10-12 new showrooms in H2 FY27. At standalone level, EBITDA margins remained muted due to gold price volatility, elevated old gold exchange volumes, competition, and prevailing hedging ratio.

Mr. Sanjay Banka, CFO: Company successfully raised short-term funds through Commercial Paper route. Strategy focuses on deepening market presence, customer acquisition, and enhancing convenience. Inventory increase driven by new showrooms and strategic stocking for festive season. Borrowings increased to support inventory and working capital requirements.

Outlook and Guidance

  • H2 FY27 Value Growth Target: Over 25%
  • H2 FY27 EBITDA Margin Target: 7.5%
  • Sustainable PAT Margin Target: 4.0%-4.5%
  • Dhanteras Sales: ₹1,800 crore with above 30% growth
  • Full Year Growth Expectation: Minimum 25% based on existing sales trend
  • Key Priorities: Margin stabilization, improving inventory days, optimizing finance costs through Gold Metal Loans mix, strengthening subsidiary performance

Product and Brand Initiatives

  • Introduced Ti22 by Aham titanium jewellery collection for men
  • Launched 'The Shape of You' AI-powered jewellery styling initiative
  • Over 156,000 gold designs and 86,000 diamond designs in portfolio
  • Brand portfolio includes Everlite (lightweight), Gossip (silver), Aham (men), Vivaha and Rajwada (wedding collections)
  • Nominated as top trusted jewellery brand by TRA and 2nd most desired brand in 2026

Festive Calendar Impact

Quarter benefited from Ratha Yatra, Raksha Bandhan, Janmashtami, Onam, Ganesh Chaturthi, and Independence Day. Pitru Paksha had only 4 days in Q2 FY27 vs 15 days in Q2 FY26, contributing to improved sales momentum.