AJC Jewel Manufacturers delivered a strong start to FY27, with consolidated net profit attributable to owners surging 318.7% year-on-year to ₹2.38 crore for the quarter ended June 30, 2026. Total revenue from operations expanded 124.7% to ₹101.38 crore, reflecting robust demand and operational scale-up in its gold and silver jewellery segments.

The Board of Directors approved the unaudited standalone and consolidated financial results in a meeting held on August 13, 2026. Kumar & Biju Associates LLP issued the limited review report for both sets of accounts, confirming compliance with SEBI Listing Regulations and Accounting Standard 25.

Financial Highlights

On a standalone basis, revenue from operations expanded 20.4% quarter-on-quarter to ₹101.29 crore, while net profit rose 28.4% to ₹2.52 crore. Consolidated total expenses stood at ₹98.14 crore, primarily due to higher cost of materials consumed and employee benefits. Finance costs increased to ₹1.27 crore from ₹98.09 lakh in the previous quarter.

What the Numbers Show

The company demonstrated significant operating leverage, with EBITDA growing at nearly twice the rate of revenue. EBITDA expanded 193.7% to ₹4.64 crore, compared to a 124.7% rise in total revenue. This divergence indicates improved margin retention and efficiency gains from technology-enabled manufacturing and product diversification. The PAT margin widened by 108.75 basis points to 2.35%, underscoring the benefit of scale as fixed costs were spread over a larger revenue base.

Strategic & Operational Updates

AJC continues to strengthen its jewellery manufacturing platform with a focus on customised, lower-MOQ jewellery and value diversification. The company has upgraded its B2B digital portal and ERP platform and established a dedicated Design & Innovation Centre to accelerate new product development.

The Sharjah expansion, delayed due to geopolitical tensions in the Middle East, remains on track for completion by H1FY27. This initiative aims to strengthen the company’s international manufacturing footprint across GCC markets.

Esthara Jewels Expansion

The company is progressively expanding its D2C silver jewellery business under Esthara Jewels, its consumer-facing subsidiary focused on affordable luxury. During April-July 2026, Esthara Jewels opened three new showrooms in Kerala:

• Hilite Mall, Thrissur (operational from April 6, 2026)
• Hilite Countryside Mall, Chemmad (operational from June 19, 2026)
• Market City Mall, Perinthalmanna (opened July 12, 2026)

Fund Utilization

As of June 30, 2026, there were no deviations in the use of proceeds from the public issue raised in June 2025. Funds allocated for capital funding, debt repayment, general corporate purposes, and issue-related expenses were fully utilized as per the original plan, with ₹15.39 crore deployed across these categories.

Esthara Jewels Private Limited, a subsidiary of AJC Jewel Manufacturers , has expanded its retail footprint by inaugurating its third showroom at Market City Mall in Perinthalmanna, Malappuram District, Kerala. The new facility, which commenced operations on July 12, 2026, specializes in the retail sale of silver jewellery. This strategic move is designed to strengthen the company's market presence and support its overall business expansion objectives within the region.

The outlet at Market City Mall is expected to provide high visibility and accessibility to customers in the area. The management believes that this expansion will contribute positively to the revenue streams of AJC Jewel Manufacturers by enhancing the distribution channels for its products.

Industry Context

India's organised jewellery retail sector continues to expand, driven by rising disposable incomes and increasing preference for branded jewellery. According to IMARC Group, the Indian gems and jewellery market was valued at USD 105.8 billion in 2025 and is projected to reach USD 231.9 billion by 2034, growing at a CAGR of 8.83%. CareEdge Research estimates that silver constitutes around 5% of the market by material type.

Management Commentary

Mr. Ashraf P, Chairman & Managing Director of AJC Jewel Manufacturers Ltd., stated that the opening represents a step in strengthening retail presence through locations with strong consumer potential. He highlighted that the organised silver jewellery segment benefits from increasing consumer preference for branded products and contemporary designs, providing a favourable environment for network expansion.

Operational Details