Jewellery stocks are entering the festive season with mixed performance, as recent business updates have shown varying results. Investors are now awaiting the September quarter results, weighing the sustainability of recent rallies against elevated gold prices, inflation, and interest rate uncertainties. Festive demand, premiumisation, and gains in the organised jewellery market have supported business momentum, though the shift in the festive calendar has affected quarterly comparisons.
Over the past three months, Sky Gold and Diamonds shares surged 56%, while PC Jeweller gained 40%. Kalyan Jewellers advanced 20%, but Thangamayil Jewellery declined 26%, Goldiam International fell 19%, Senco Gold shed 8%, and Titan Company slipped 2%. Business updates from leading jewellery companies indicated continued revenue growth, though the timing of festive demand influenced performance towards the end of the quarter.
Kalyan Jewellers reported 26% year-on-year growth in consolidated revenue, supported by healthy operating momentum and same-store sales growth. Titan Company reported 25% growth across its consumer businesses, with its jewellery business growing approximately 21%. PC Jeweller reported 28% year-on-year growth in consolidated revenue and achieved debt-free status after repaying all outstanding bank debt.
Motilal Oswal Financial Services expects jewellery coverage companies to report sales, EBITDA, and profit after tax growth of 23%, 26%, and 27%, respectively, in Q2FY27. The brokerage noted that demand remained resilient despite gold prices rising approximately 45% year-on-year in the September quarter. The outlook for the second half of FY27 is expected to remain strong, supported by the festive and wedding seasons.