Sky Gold And Diamonds has announced a strategic partnership with Senco Gold And Diamonds to introduce a new line of 9KT gold jewelry products. This collaboration aims to capture the growing market for affordable fashion jewelry, targeting young buyers and first-time customers.

Affordable Luxury for a New Generation

The partnership between Sky Gold And Diamonds, a leading B2B jewelry manufacturer, and Senco Gold & Diamonds, a pan-India jewelry retailer with over 85 years of legacy, marks a significant step in addressing the demand for stylish yet cost-effective jewelry options. The new 9KT gold jewelry line is designed to appeal to Gen Z consumers and align with fast fashion trends.

Strategic Move in a High Gold Price Environment

Mr. Suvankar Sen, Managing Director and CEO of Senco Gold & Diamonds, highlighted the timeliness of this initiative, stating, "At a time when gold prices are at elevated levels, the introduction of exclusive 9kt modern designs allows us to offer more accessible jewelry options." This move enables both companies to cater to value-conscious consumers without compromising on style and quality.

Expanding Market Reach

Darshan Chauhan, Director and Chief Growth Officer at Sky Gold & Diamonds, emphasized the strategic importance of this collaboration, saying, "This development marks an important milestone in Sky Gold's journey of growth and innovation. By collaborating with SENCO Gold & Diamonds for the 9kt jewelry, we aim to get into a new product line, and this association reflects our vision to make Sky Gold a trusted global jewelry brand."

Leveraging Strengths

The partnership allows both brands to combine their strengths in design, craftsmanship, and market reach. Sky Gold And Diamonds brings its expertise as a B2B jewelry manufacturer with a vast design library of over 900,000 SKUs and 150+ designers. Senco Gold & Diamonds contributes its extensive retail network of more than 186 showrooms across 17 states and its strong brand presence in the Indian jewelry market.

Innovation in Design and Accessibility

The new 9KT gold jewelry line is expected to feature contemporary, lightweight designs that cater to changing consumer preferences. This initiative not only aims to attract younger customers but also serves as an entry point for first-time gold buyers looking for variety in their jewelry collection.

As gold prices continue to remain high, this strategic move by Sky Gold And Diamonds and Senco Gold & Diamonds could potentially reshape the affordable luxury segment in the Indian jewelry market, making stylish gold jewelry more accessible to a broader customer base.

Sky Gold And Diamonds Limited, a leading B2B gold jewellery manufacturer, has reported a robust financial performance for the first quarter of fiscal year 2026, with significant growth across key metrics.

Strong Revenue and Profit Growth

The company's consolidated revenue soared to INR 1,131.00 crores in Q1 FY26, marking a substantial 56% year-on-year increase from INR 723.00 crores in Q1 FY25. This growth was driven by a 30% rise in monthly production volume, reaching 456 kg compared to 349 kg in the previous year.

Profitability also saw remarkable improvement:

Diversification and Expansion Strategies

Sky Gold & Diamonds has made significant strides in diversifying its client base and expanding its market presence:

• New client acquisitions include Reliance Retail, PMJ Jewellery, and Kalamandir
• Increased wallet share with existing clients like Aditya Birla and CaratLane
• Advanced gold business grew from 4% to 5% quarter-on-quarter
• 18-carat gold volumes rose from 4% to 7%
• Export sales reached INR 131.00 crores, representing 12% of total revenue

Financial Management and Expansion Plans

The company has taken strategic steps to optimize its financial structure and expand its operations:

• Secured gold metal loan limits of INR 190.00 crores from three banks
• Plans to acquire a subsidiary in Dubai for Middle East expansion
• Targeting revenue of INR 5,400.00 crores in FY26 and INR 7,600.00 crores in FY27
• Aiming for volume guidance of 650-700 kg per month by FY26 exit

Market Dynamics and Product Strategy

Despite gold price volatility, Sky Gold & Diamonds has adapted its strategy to meet changing market demands:

• Focused on lightweight, design-forward pieces suited for modern lifestyles
• Transitioned from volume-based to design-led model emphasizing craftsmanship
• Observed increasing trend towards 18-carat jewellery due to high gold prices
• Launched lightweight "feather light" jewellery designs in 22-carat

Management Commentary

Mangesh Chauhan, Managing Director and CFO, commented on the results: "We have commenced the quarter on a strong note despite persistent fluctuation in gold prices. Our Akshaya Tritiya sales performed exceptionally well, demonstrating significant growth. At Sky Gold, we remain steadfast on our vision to become one of the largest B2B gold jewellery manufacturers in our segment."

Future Outlook

Sky Gold & Diamonds is poised for continued growth, with plans to:

• Gradually shift borrowings to gold metal loans for cost optimization
• Increase advanced gold business to enhance PAT and improve ROCE
• Expand export operations, targeting 17-20% of revenue from exports by FY26
• Focus on new customer additions through the advanced gold model

With its strategic initiatives and strong market position, Sky Gold & Diamonds Limited appears well-positioned to capitalize on the growing demand for gold jewellery in both domestic and international markets.