Sky Gold And Diamonds Limited, a leading B2B jewellery manufacturer, has reported a stellar performance for the second quarter, showcasing robust growth and strategic expansions. The company's financial results and recent developments paint a picture of strong market positioning and ambitious growth plans.

Financial Highlights

Sky Gold And Diamonds recorded an impressive 93.1% year-on-year growth in revenue for Q2, reaching INR 1,484.00 crores. This substantial increase was accompanied by a remarkable 82% rise in Profit After Tax (PAT), which stood at INR 67.00 crores. The company's performance demonstrates its resilience and strength in a dynamic market environment.

Key Performance Metrics

Operational Highlights

• Volume Growth: The company increased its production volume to 544 kgs per month, marking a 20% growth compared to Q1.
• Product Mix: Sky Gold And Diamonds has seen a shift in its product mix, with 18Kt gold business now accounting for 7% of sales, and the studded jewellery segment doubling to 1.5% of total revenue.
• Advanced Gold Model: The company's advanced gold model now stands at 7% in Q2, contributing to improved gross margins.
• Working Capital Management: Sky Gold And Diamonds improved its working capital cycle by 7 days in September compared to March, reflecting better inventory management.

Strategic Expansions and Acquisitions

1. Speed Bangle Private Limited: Sky Gold And Diamonds completed the acquisition of Speed Bangle Private Limited (formerly Ganna N Gold), which is expected to strengthen the working capital cycle with its 100% advanced gold business model.

2. Shri Rishab Gold Acquisition: The company entered into a non-binding term sheet to acquire a majority stake in Shri Rishab Gold, a reputed Mumbai-based jewellery firm known for its strong presence in the mangalsutra segment.

3. International Expansion: Sky Gold And Diamonds established a new B2B sales office, Sky Souk Jewellery Trading LLC, in Dubai, UAE, to strengthen its foothold in the Middle East market.

Export Growth and Future Outlook

The company's exports have doubled this quarter, reaching approximately INR 150.00 crores, reflecting early success in its international expansion strategy. Sky Gold And Diamonds remains on track to achieve its revenue target of INR 5,400.00 crores, driven by new client acquisitions, operational efficiencies, and enhanced management capabilities.

Mangesh Chauhan, Managing Director of Sky Gold And Diamonds Limited, commented on the results, stating, "Our performance this quarter demonstrates our operational efficiency, customer trust, and ability to adapt to evolving market needs. We are committed to blending timeless heritage with contemporary design and comprehensive offerings."

Conclusion

Sky Gold And Diamonds Limited's impressive Q2 results, coupled with its strategic initiatives and expansions, underscore the company's strong position in the jewellery manufacturing sector. With a focus on operational efficiency, product diversification, and international growth, Sky Gold And Diamonds is poised to capitalize on the evolving dynamics of the gold and diamond jewellery market.

Investors and industry observers will be keenly watching Sky Gold And Diamonds' future performance as it continues to execute its growth strategy and navigate the competitive landscape of the jewellery industry.

Sky Gold And Diamonds Limited (formerly known as Sky Gold Limited) has reported robust financial results for the second quarter of fiscal year 2026, demonstrating significant growth across key financial metrics.

Financial Highlights

The company's performance for Q2 FY2026 showcases substantial year-over-year improvements:

Sky Gold And Diamonds' revenue surged to ₹1,149.42 crores in Q2 FY2026, marking a substantial 879% increase from ₹117.39 crores in the same quarter last year. Net profit rose by 52.8% to ₹54.83 crores, up from ₹35.89 crores in Q2 FY2025.

Corporate Actions and Strategic Moves

Sky Gold And Diamonds has been actively expanding its business through strategic acquisitions and corporate actions:

1. The company acquired a 100% stake in Speed Bangle Private Limited for ₹224.91 crores, strengthening its position in the jewelry manufacturing sector.

2. Sky Gold And Diamonds further expanded its global presence by acquiring a 100% shareholding in Sky Souk Jewellery Trading LLC for 1,00,001 Dirhams.

3. The company's Board approved unaudited financial results for the quarter and half-year ended September 30, 2025.

4. The Board considered a postal ballot notice for several items including:

   • Appointment of Mr. Virupakshi Kolla as Non-Executive Independent Director
   • Increase in borrowing powers
   • Creation of charges on properties
   • Enhancement of limits for loans and guarantees

Operational Changes

Effective April 1, 2025, Sky Gold And Diamonds changed its method of charging depreciation for property, plant, and equipment from Written Down Value (WDV) to Straight Line Method (SLM). This change may impact the company's financial statements going forward.

Future Outlook

With its recent acquisitions and strong financial performance, Sky Gold And Diamonds appears well-positioned for continued growth in the jewelry manufacturing and trading sector. The company's strategic moves to expand its global footprint and proposed changes in corporate governance and financial flexibility may contribute to its future performance.

Investors and market watchers will likely keep a close eye on how the company integrates its new acquisitions and capitalizes on potential synergies in the coming quarters.