Strong gold jewellery sales drive robust quarterly growth; company accelerates debt reduction and retail expansion
PC Jeweller reported a 63 per cent year-on-year increase in revenue for the second quarter of fiscal 2025-26, supported by festive season demand for gold jewellery. The company also reduced its bank debt by 23 per cent during the quarter and plans to become debt-free by the end of FY26, aided by planned equity infusions of Rs 1,800 crore from promoters and investors.
In a regulatory filing, PC Jeweller provided operational updates for the July-September period, noting higher consumer activity during the festival months. The company posted standalone revenue of Rs 807.88 crore for the quarter, compared with Rs 439.78 crore in the same period last year.
During the quarter, the company added a franchise-owned showroom in Pitampura, Delhi, as part of its growth strategy combining company-owned and franchise showrooms to expand its retail network.
“Building on this performance, we remain focused on reclaiming our leading market position and driving sustained growth in the upcoming quarters,” the company said in the filing.
The latest debt reduction follows a 9 per cent decline in the first quarter and more than a 50 per cent reduction in the previous fiscal year. At the end of 2024-25, the company’s net debt stood at Rs 1,780 crore. To further reduce liabilities, PC Jeweller plans a Rs 500 crore equity infusion from promoters and Capital Ventures Pvt Ltd, along with Rs 1,300 crore from conversion of warrants into equity shares, totalling Rs 1,800 crore.
On profitability, consolidated net profit for the quarter increased 4 per cent to Rs 161.93 crore from Rs 156.06 crore a year ago, while profit before tax rose to Rs 163.58 crore from Rs 84.64 crore. The increase in net profit was aided by tax refunds of Rs 71.39 crore received in the April-June period.
For fiscal 2024-25, PC Jeweller reported a net profit of Rs 577.70 crore on total income of Rs 2,371.87 crore. Its shares closed at Rs 12.66 apiece on the BSE, with a market capitalization of Rs 8,324.43 crore and a PE ratio of around 15.
