P N Gadgil Jewellers (PNGJL) Q1 25/26 earnings summary

Executive summary

• Q1 FY26 consolidated revenue reached INR 17,145.6 million, up 2.8% year-over-year, with EBITDA rising 85.4% to INR 1,228.5 million and PAT nearly doubling to INR 693.4 million, with a PAT margin of 4%.

• Gross margin improved from 8.3% to 13.2% year-over-year, and EPS for Q1 FY26 was ₹5.11 (consolidated).

• Store count increased to 55, including two new LiteStyle stores targeting younger, urban consumers.

• Discontinued B2B bullion refinery sales from October 2024 to focus on core retail, franchise, and e-commerce segments.

• Unaudited standalone and consolidated financial results for Q1 FY26 were approved by the Board and reviewed by independent auditors with no material misstatements.

Financial highlights

• Consolidated revenue from operations grew to INR 17,145.6 million, with standalone revenue at ₹17,024.17 million.

• EBITDA margin improved by 320 bps to 7.2%; PAT margin rose by 190 bps to 4%.

• Retail revenue grew 19.4% year-over-year to INR 12,053 million; franchise revenue surged 108.7% to INR 2,693 million; e-commerce revenue jumped 125.9% to INR 661 million.

• Same-store sales growth was 8%, impacted by the timing of the Gudi Padwa festival.

• Highest-ever single-day festive sale on Akshaya Tritiya at INR 1,395.3 million, up 35.1% year-over-year.

Outlook and guidance

• Plans to open 20-25 new stores in FY26, focusing on LiteStyle and pan-India expansion, with revenue guidance of INR 9,000-9,500 million and PAT margin expected at 3.5%-4%.

• Emphasis on digital growth, e-commerce, and quick commerce platforms.

• H2 expected to see accelerated growth due to festive and wedding seasons.

• Gross margin of 13% is expected to be sustainable, driven by product mix and studded jewellery.

• Targeting sustainable growth through ethical sourcing, responsible craftsmanship, and community engagement.