Golkunda Diamonds & Jewellery commenced operations at its new manufacturing facility in Mumbai on August 3, 2026, marking a strategic entry into the domestic jewellery market after more than 40 years of exclusively serving export clients. The new unit, located at Mahal Industrial Estate in Andheri East, aims to diversify revenue streams by catering directly to leading retail chains across India, reducing dependence on international markets.

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and SEBI Circular No. SEBI/HO/CFD/PoD2/P/CIR/P/0155 dated November 11, 2024. This development follows an earlier disclosure dated February 12, 2026, and aligns with the expansion plan previously approved by the Board of Directors.

Facility Details

The new manufacturing unit represents a capital expenditure of approximately ₹12.00 crore, excluding working capital requirements. The facility spans 5,360 sq. ft. and is designed to produce a comprehensive range of fine jewellery, including diamond, gold, gemstone, jadau, and lab-grown diamond pieces such as rings, earrings, pendants, necklaces, bangles, and bracelets.

Operational Impact

Upon commencement, the company's overall manufacturing capacity is expected to increase by approximately 50-60%. The existing operations, housed in two units in SEEPZ, Mumbai, have historically focused on exporting to leading international retail chains in Europe and the Middle East. Management states that leveraging over four decades of expertise in manufacturing and exporting will allow the company to strengthen its presence in the Indian jewellery market.

Strategic Significance

The expansion signals a deliberate move to balance the company's revenue mix. By adding significant domestic capacity without altering its existing export infrastructure, Golkunda Diamonds is positioning itself to capture growth in the organized Indian jewellery sector while maintaining its established global footprint. The 50-60% boost in total capacity reflects substantial operational leverage as the company targets domestic demand. Chairman Kantikumar Dadha noted the intent to pursue partnerships to accelerate entry into business-to-consumer (B2C) retail.

Golkunda Diamonds & Jewellery reported a 15.91% year-on-year increase in net profit to ₹136.94 crore for the financial year ended March 31, 2026, driven by an 11.51% rise in revenue from operations to ₹2,815.02 crore. The Mumbai-based jeweller navigated global volatility and tariff pressures to deliver improved profitability, with earnings per share rising to ₹19.66 from ₹16.97 in the previous year. The Board of Directors recommended a final dividend of ₹1.50 per equity share, maintaining the payout ratio at 15%, which translates to a total dividend outflow of ₹104.46 lakh.

The company’s 36th Annual General Meeting is scheduled for August 20, 2026, where shareholders will approve the financial statements and the re-appointment of key directors. Pursuant to Regulation 34 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Annual Report and Notice were submitted to BSE Limited on July 27, 2026. Statutory Auditors M/s. R.C. Jain & Associates LLP issued an unqualified opinion on the financial statements, confirming compliance with Indian Accounting Standards (Ind AS) and adequate internal financial controls.

Financial Performance

The company’s top-line growth was supported by robust demand in export markets and strategic cost controls. Net sales rose from ₹2,524.44 crore in FY25 to ₹2,815.02 crore in FY26. Other income increased marginally to ₹82.74 lakh from ₹73.27 lakh. Total income stood at ₹2,823.29 crore. Operating expenses were managed effectively, with employee benefit expenses rising to ₹100.01 crore from ₹93.25 crore, while other expenses decreased slightly to ₹94.25 crore from ₹95.81 crore.

Strategic Initiatives and Outlook

Management highlighted the establishment of a new manufacturing facility in Andheri, Mumbai, aimed at strengthening its presence in the domestic market. This facility will produce fine jewellery, including diamond, gold, and lab-grown diamond pieces, for retail chains across India. The company also raised funds through a preferential allotment of convertible warrants to support liquidity for this expansion, although the allotment was pending BSE approval as of March 31, 2026.

The Management Discussion and Analysis report noted that while geopolitical tensions and US import tariffs pose risks, the company remains optimistic about long-term growth. It plans to diversify its revenue mix by reducing dependence on exports and leveraging its 40-year manufacturing expertise in the domestic segment. The company expects 15% to 20% growth in income and profitability over the next three years.

Corporate Governance and Dividends

Shareholders will vote on the re-appointment of Kanti Kumar Dadha as Chairman and Whole Time Director, Arvind Dadha as Managing Director, and Ashish Dadha as Whole Time Director and CFO. Their remuneration packages are capped at ₹20 lakh, ₹18 lakh, and ₹18 lakh per month, respectively. Independent Director Shashi Ashok Bekal seeks re-appointment for a second five-year term.

Dividend payments will be made electronically to shareholders who have updated their KYC details. The record date for dividend entitlement is August 20, 2026. Unclaimed dividends remain liable for transfer to the Investor Education and Protection Fund after seven years. The company spent ₹28.50 lakh on Corporate Social Responsibility activities during FY26, exceeding its requirement of ₹27.72 lakh.