Sky Gold and Diamonds (541967) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 revenue rose 61.0% YoY to ₹2,390.7 Cr; EBITDA increased 90.0% to ₹189.8 Cr and reported PAT grew 93.2% to ₹129.4 Cr.

• H1 FY27 revenue rose 68.3% to ₹4,403.5 Cr, EBITDA reached ₹346.5 Cr and PAT was ₹234.3 Cr.

• H1 operating cash flow was ₹136.7 Cr, versus an outflow of ₹100.9 Cr in H1 FY26.

• Strategy prioritizes exports, advance-gold manufacturing and higher-value products; the Board proposed an equity raise of up to ₹1,800 Cr, subject to approvals.

Financial highlights

• Q2 gross profit was ₹229.1 Cr, up 87.1% YoY; gross margin expanded 133 bps to 9.6%.

• Q2 EBITDA margin was 7.9%, up 121 bps YoY; EBIT was ₹198.9 Cr, up 88.5%.

• Q2 reported PAT margin was 5.4%; operational PAT, excluding non-operational income and exceptional items, was ₹134.9 Cr.

• H1 gross profit was ₹416.6 Cr, up 94.8%; gross margin was 9.5% and EBITDA margin was 7.9%.

• H1 EBIT was ₹359.0 Cr, up 102.1%; reported PAT margin was 5.3%.

Outlook and guidance

• Management said it would not provide forward guidance under SEBI restrictions and may revisit guidance after the QIP mandate closes.

• Previously stated FY30 objectives were ₹18,000 Cr revenue, ₹945 Cr PAT, 20%-25% PAT conversion to operating cash flow and net debt-free status.

• Growth priorities include value-added and co-created products, advance gold, export expansion, broader customer reach and improved cash conversion.

• GML conversion plans were revised after shorter inventory cycles made GML costlier than regular purchases without PAT benefit; GML was nil at March 2026.