Khazanchi Jewellers Limited reported a 98.87% increase in profit after tax (PAT) for the financial year ended March 31, 2026 (FY26), reaching ₹89.42 crore. The jewellery retailer’s total income grew 15.71% to ₹2,051.02 crore, supported by a significant expansion in operational efficiency. Earnings before interest, taxes, depreciation, and amortization (EBITDA) surged 95.69% to ₹126.99 crore, while earnings per share (EPS) rose to ₹36.10.

The company submitted its investor presentation on audited financial results for the half-year and year ended March 31, 2026, to BSE Limited on June 04, 2026. The filing detailed the financial performance across key metrics, highlighting a compound annual growth rate (CAGR) of 67.91% in total income over five years. Return on capital employed (ROCE) improved to 29.39% in FY26 from 21.76% in the previous year.

Financial Performance

The profit and loss statement reveals a robust performance in the second half of FY26 (H2 FY26). PAT for H2 FY26 stood at ₹50.72 crore, a 103.60% increase compared to the corresponding period in the previous year. Revenue for H2 FY26 reached ₹1,098.26 crore, an 8.10% year-on-year growth. Total expenditure for the full year FY26 was reported at ₹1,924.04 crore, with raw material expenses constituting the largest component at ₹1,915.31 crore.

Key Financial Figures

Balance Sheet and Assets

The balance sheet size expanded to ₹466.23 crore in FY26 from ₹306.28 crore in FY25. Shareholders' funds, or net worth, increased to ₹319.57 crore, driven by a rise in reserves and surplus to ₹294.82 crore. The company strengthened its asset base, with total assets growing to ₹466.23 crore. Inventories, a major component of current assets, rose to ₹407.78 crore in FY26 from ₹257.18 crore in the previous year.

Balance Sheet Summary

Management Commentary and Outlook

During the earnings conference call held on June 04, 2026, management attributed the growth to a shift towards higher-margin segments, including diamond jewelry under the Vajraa Diamonds brand, and the successful launch of a large-format flagship showroom in Chennai. The average invoice size for the retail segment is reported to be between ₹1.5 lakh and ₹1.7 lakh. Management stated that the working capital cycle stands at 52 days, with inventory days at 70 to 75 days.

Looking ahead, the company expressed confidence in sustaining a growth trajectory of 25% to 30%. For FY27, management guided for a growth pace of at least 25% to 30%, with potential for PAT improvement to 35% driven by the expanding retail contribution. The company plans to fund expansion internally, targeting an increase in retail sales contribution from 10% to 25% over the next two financial years.

Khazanchi Jewellers Limited has announced its audited financial results for the year ended March 31, 2026, reporting substantial growth in both revenue and profitability. The company's board, in its meeting held on May 22, 2026, approved the financial statements along with the audit report issued by M/s. PSDY & Associates, Chartered Accountants. The company delivered robust annual results, with EBITDA margins expanding significantly by 253 basis points year-on-year.

Full Year Financial Performance

Khazanchi Jewellers delivered robust annual results for the year ended March 31, 2026. The company reported a net profit of ₹894.18 crore, marking a 99% increase compared to ₹449.64 crore in the previous year. Revenue from operations grew to ₹20,492.16 crore from ₹17,719.27 crore in FY25, while total income for the year stood at ₹20,510.22 crore. The profit before tax increased to ₹1,207.56 crore from ₹608.23 crore in the prior year. The basic and diluted earnings per share (EPS) for FY26 were reported at ₹36.10, compared to ₹18.18 in the previous year.

The following table summarises the key annual financial metrics:

H2 and Quarterly Operational Highlights

For the half-yearly period ending March 31, 2026 (H2 FY26), revenue stood at ₹10,982.60 crore with a net profit of ₹507.22 crore. H2 EBITDA increased by 103% to ₹732.10 crore, with margins expanding by 312 basis points to 6.67%. The company's quarterly performance underscored strong operational momentum. Q4 EBITDA stood at ₹718M compared to ₹358M in the same period of the previous year, with the EBITDA margin expanding significantly to 6.55% from 3.52% year-on-year. Q4 standalone net profit rose to ₹507M versus ₹249M in the corresponding prior-year quarter, while Q4 revenue came in at ₹10.1B compared to ₹10B in the year-ago period.

The table below captures the key H2 performance indicators:

Corporate Governance and Appointments

The board approved the revision of the Dividend Distribution Policy, which now targets a dividend pay-out ratio in the range of 5% to 20% of the annual standalone profits after tax (PAT). Additionally, the board discussed the migration of the company from the SME to the Main Board platform, subject to necessary approvals. In compliance with regulatory requirements, the board appointed M/s. AK Jain & Associates as the Secretarial Auditor and M/s. C S Hariharn & Co LLP as the Internal Auditor for the financial year 2026-27. The statutory auditors, M/s. PSDY & Associates, issued an unmodified opinion on the audited financial results.