Kalyan Jewellers Seeks Shareholder Approval to Double Employee Stock Options to 60 Lakh

Kalyan Jewellers India Limited has initiated a postal ballot to seek shareholder approval for a significant amendment to its Employee Stock Option Plan 2020 (ESOP 2020). The company aims to double the number of stock options available under the plan, potentially impacting employee compensation and retention strategies.

Key Details of the Proposed Amendment

Increase in Stock Options: The company proposes to increase the total number of employee stock options from 30 lakh to 60 lakh.
Conversion Ratio: Each option, when exercised, will be convertible into one equity share with a face value of Rs. 10.00.
Voting Period: E-voting will be open from November 15, 2025, to December 14, 2025.
Results Declaration: The outcome of the postal ballot is scheduled to be announced by December 16, 2025.
Eligibility Cut-off Date: November 8, 2025, has been set as the cut-off date for determining voting eligibility.

Rationale and Implementation

The amendment is designed to broaden the opportunity for more employees to participate in the company's growth. This move aligns with Kalyan Jewellers' strategy to attract, retain, and motivate key talent across the organization and its subsidiaries.

Key Features of the Amended ESOP 2020

Feature	Details
Vesting Period	1-3 years from the date of grant
Exercise Period	5 years from the vesting date
Maximum Options per Employee	12 lakh
Eligibility	Permanent employees, including directors (excluding promoters, independent directors)
Implementation	Directly by the company, not through a trust
Pricing	As decided by the Nomination and Remuneration Committee, not less than face value

Approval Process

The amendment requires approval through a special resolution. The company has engaged National Securities Depository Limited (NSDL) to facilitate the e-voting process for shareholders.

Impact and Outlook

This expansion of the ESOP pool could potentially enhance Kalyan Jewellers' ability to align employee interests with organizational objectives. By offering equity-based compensation, the company aims to foster a sense of ownership among its workforce, which may contribute to long-term growth and performance.

Shareholders are advised to review the detailed postal ballot notice and consider the potential dilution and long-term benefits before casting their votes on this significant amendment to the company's employee stock option plan.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.76%	-1.55%	+6.34%	-8.94%	-24.69%	+571.41%

Kalyan Jewellers India , a prominent player in the Indian jewelry market, has announced robust financial results for the second quarter of the fiscal year. The company's performance showcases significant growth across key financial metrics, indicating a strong market position and effective business strategies.

Financial Highlights

Metric	Q2 (Current Year)	Q2 (Previous Year)	Year-on-Year Change
Net Profit	₹2.61 billion	₹1.31 billion	+99.2%
Revenue	₹78.56 billion	₹60.58 billion	+29.7%
EBITDA	₹4.97 billion	₹3.20 billion	+55.3%
EBITDA Margin	6.33%	5.27%	+1.06 percentage points

Key Takeaways

Doubled Net Profit

Kalyan Jewellers has reported a remarkable 99.2% increase in consolidated net profit, rising from ₹1.31 billion in the previous year's corresponding quarter to ₹2.61 billion in the current quarter.

Strong Revenue Growth

The company's revenue saw a substantial increase of 29.7%, reaching ₹78.56 billion compared to ₹60.58 billion in the same quarter last year.

Improved Operational Efficiency

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) grew by 55.3% year-on-year, from ₹3.20 billion to ₹4.97 billion, indicating enhanced operational efficiency.

Enhanced Profitability

The EBITDA margin improved significantly, rising from 5.27% to 6.33%, suggesting better cost management and increased profitability.

These results demonstrate Kalyan Jewellers' strong performance in the jewelry market, potentially reflecting positive consumer sentiment and effective business strategies. The substantial growth in net profit, coupled with improved EBITDA margins, indicates the company's ability to manage costs while driving revenue growth.

The jewelry sector, often considered a barometer of consumer confidence and discretionary spending, seems to be showing resilience based on Kalyan Jewellers' performance. This could be indicative of a broader trend in the luxury goods market or specific successes in the company's business model.

As the company continues to navigate the dynamic retail landscape, these results may position Kalyan Jewellers favorably for future growth and market expansion. However, it's important for investors and market watchers to consider these results in the context of broader market trends and potential future challenges in the retail and luxury goods sectors.