Jewellery Stock Jumps 7% After Reporting 60% YoY Revenue Growth in Q1

Synopsis: The shares of this jewellery company jumped 7 percent after reporting 60 percent YoY revenue growth in Q1 FY27, backed by strong festive and wedding demand.

The shares of this company, which operates a vast network of more than 200 stores offering certified gold, diamond, platinum, and silver jewellery along with lifestyle products, gained focus after the company reported a strong Q1 FY27 business update.

With a market capitalization of Rs 5,557 crore, Senco Gold Ltd’s share on Monday made a day low of Rs 348.10 per share, up by 6.63 percent from its previous day’s close of Rs 326.45 per share. The company’s share has a negative return of 7 percent in the last 1 year.

Q1 Key Business Update

Senco Gold reported a strong start to Q1 FY27, with total revenue rising 60 percent YoY and 53 percent QoQ. Retail revenue also grew 48 percent YoY and 51 percent QoQ, supported by a favourable festive season and strong wedding demand. Same-store sales growth (SSSG) stood at 38 percent YoY and 34 percent QoQ, while the company’s trailing 12-month sales reached around Rs 9,660 crore.

The company’s diamond jewellery business continued to perform well during the quarter. Diamond jewellery value grew 40 percent YoY and 47 percent QoQ, while diamond volumes increased 15 percent YoY and 56 percent QoQ. Growth was driven by higher sales volumes, a richer product mix, affordable jewellery priced below Rs 50,000 under the Everlite range, and new product launches.

Old gold exchange remained a key contributor, accounting for around 43 percent of total sales in Q1 FY27. During the quarter, the company also launched a “0 percent deduction” campaign to encourage gold exchanges. Senco Gold opened 8 new showrooms, including 3 company-owned, 4 franchise stores, and 1 Sennes outlet, taking its total network to 208 showrooms, after accounting for one store closure.

Gold prices remained significantly higher on a YoY basis, although they softened sequentially due to geopolitical developments. The company said the increase in customs duty from 6 percent to 15 percent is expected to benefit revenues over Q1 and Q2 FY27, but aggressive discounting during the quarter and existing hedge positions are likely to put pressure on margins in the near term.

Looking ahead, Senco Gold expects Q2 FY27 to be seasonally softer. However, demand is likely to be supported by the monsoon season and upcoming festive gold bookings ahead of Q3 FY27. The company said it will continue to focus on inventory optimisation, expanding its lightweight and 9K jewellery collections, and protecting margins while maintaining its showroom expansion plans.

About the Company

Incorporated in 1994, Senco Gold is one of India’s largest and most trusted organized jewelry retailers. Headquartered in Kolkata, West Bengal, it operates a vast network of hundreds of stores, offering certified gold, diamond, platinum, and silver jewelry along with lifestyle products.

Financial Highlights: Revenue from operations of Rs 1,997 crore in Q4 FY26, compared to Rs 1,378 crore in Q4 FY25, registering a 44.9 percent YoY growth. Its operating margin improved to 14 percent in Q4 FY26 from 9 percent in Q4 FY25. Net profit stood at Rs 157 crore in Q4 FY26, up 153.2 percent YoY from Rs 62 crore in Q4 FY25. As a result, earnings per share increased to Rs 9.58 in Q4 FY26 from Rs 3.81 in Q4 FY25, reflecting a 151.4 percent YoY growth.

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