Tribhovandas bhimji zaveri Limited has received a credit rating re-affirmation from ICRA Limited, maintaining its [ICRA] A- rating with a stable outlook. The rating agency communicated this decision through a letter dated 24th February, 2026, which was subsequently disclosed to the stock exchanges on 25th February, 2026.

Rating Details and Scope

The re-affirmed rating covers the company's long-term fund-based facilities, providing a comprehensive assessment of its creditworthiness across multiple financial instruments.

Regulatory Compliance

The company fulfilled its disclosure obligations under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Company Secretary Arpit Maheshwari communicated the rating update to both the National Stock Exchange of India Limited and BSE Limited, ensuring transparency with stakeholders.

Enhanced Credit Facility

A notable aspect of this rating action is that ICRA Limited has not only re-affirmed the existing [ICRA] A- (Stable) rating but has also assigned it for an enhanced amount. This suggests an expansion in the company's credit facilities, reflecting potential business growth requirements or improved financial capacity.

Market Implications

The stable outlook accompanying the A- rating indicates ICRA's assessment that Tribhovandas Bhimji Zaveri Limited maintains consistent financial performance and creditworthiness. For a jewelry retail company operating since 1864, this rating re-affirmation provides continued access to institutional funding at competitive rates for working capital and expansion needs.

Tribhovandas Bhimji Zaveri Limited delivered exceptional financial performance for the quarter and nine months ended December 31, 2025, demonstrating strong operational leverage and margin expansion. The jewellery retailer reported significant growth across key financial metrics, validating its strategic focus on profitable growth and operational efficiency.

Strong Q3 FY26 Performance Driven by Operational Excellence

The company's Q3 FY26 results showcased robust growth momentum with revenue from operations increasing 14.40% year-on-year. The performance was driven by healthy festive and bridal demand across key markets, improved store productivity, and continued traction in design-led collections.

The quarter marked a decisive demonstration of operating leverage, with profitability metrics expanding significantly. Gross margin improved by 500 basis points to 17.48%, while EBITDA margin expanded by 592 basis points to 12.44%. PAT margin increased by 441 basis points to 7.70%, reflecting the company's ability to convert revenue growth into enhanced profitability.

Nine-Month Performance Sustains Growth Trajectory

For the nine months ended December 31, 2025, Tribhovandas Bhimji Zaveri maintained consistent performance with earnings growth materially outpacing topline expansion. The sustained momentum demonstrates the structural nature of the company's margin improvements.

The nine-month results highlighted the company's successful transition from mid-single-digit EBITDA margins in FY25 to double-digit EBITDA margins on a year-to-date basis in FY26. EBITDA margins progressed from approximately 6-7% in FY25 to 8.73% in H1 FY26, and further to 10.39% in 9M FY26.

Strategic Focus on Design-Led Growth and Operational Efficiency

The company's performance reflects successful execution of its profitable-growth blueprint, emphasizing design-led product strategy and disciplined cost management. Key initiatives included the launch of 'Dohra', a detachable jewellery collection designed for festive occasions, and continued focus on 14k diamond jewellery to address wider price points and customer preferences.

Management highlighted the company's approach to expansion through franchise-led models to widen distribution while maintaining capital discipline. The strategy includes format enhancements and location upgrades across stores to improve same-store productivity and customer experience.

Financial Highlights and Margin Expansion

The company demonstrated strong financial discipline with expenses not rising at the same pace as revenue, allowing operating leverage to flow through effectively. This performance was achieved despite a challenging environment of elevated gold prices, which typically increases working capital requirements.

Key Financial Metrics:

• Gross Margin Expansion: Q3 FY26 gross margin of 17.48% (+500 bps YoY) and 9M FY26 gross margin of 16.96% (+361 bps YoY)
• EBITDA Performance: Q3 FY26 EBITDA margin of 12.44% (+592 bps YoY) and 9M FY26 EBITDA margin of 10.39% (+372 bps YoY)
• Earnings Per Share: Q3 FY26 basic EPS of ₹12.25 compared to ₹4.57 in Q3 FY25, and 9M FY26 basic EPS of ₹19.99 versus ₹9.32 in 9M FY25

The results underscore Tribhovandas Bhimji Zaveri's successful positioning as a trusted, design-led jewellery brand with improving operational metrics and sustained profitability growth across multiple quarters.