Jewellery retailer PC Jeweller Ltd. reported a strong financial performance for the second quarter of FY26, with standalone revenue climbing 63% year-on-year to ₹808 crore. The growth was primarily driven by robust festive season demand and ongoing expansion in its retail network.
The Delhi-based jewellery brand announced the results through a regulatory filing on Thursday, highlighting that the company’s turnaround strategy continues to show solid traction.
Festive Sales Spark Strong Performance
The company said the surge in revenue was fueled by buoyant consumer demand for gold and diamond jewellery during the festive period. With 52 showrooms across India, including 49 company-owned stores, PC Jeweller has continued to strengthen its market position in the organised jewellery segment.
Industry analysts believe that the revival of consumer sentiment and stable gold prices have been key in supporting sales growth. The company’s ability to attract repeat customers and tap into festive spending helped it post one of its best quarterly performances in recent years.
Debt Reduction Accelerates
One of the major highlights of the quarter was PC Jeweller’s aggressive debt-reduction plan. The company cut its outstanding bank debt by 23% in Q2 FY26, following a 9% reduction in Q1 and a 50% decline during the previous fiscal year (FY25).
At the end of FY25, the company’s net debt stood at ₹1,780 crore. To achieve its target of becoming completely debt-free by the end of FY26, PC Jeweller is implementing a multi-step financial restructuring plan. In July, its board approved raising ₹500 crore in equity from promoters and Capital Ventures Pvt Ltd. Additionally, it expects to receive ₹1,300 crore from the conversion of warrants into equity shares.
Together, these infusions — totalling about ₹1,800 crore — will be used to clear all outstanding bank dues, as part of a settlement plan with lenders.
A senior company executive commented that this strategy will help the brand “return to a financially stable position” and enhance investor confidence ahead of the festive quarter.
Retail Expansion in Motion
PC Jeweller also expanded its physical footprint this quarter, opening a new franchise-owned showroom in Pitampura, Delhi. The company said it plans to continue with a balanced growth model, combining both company-owned and franchise-operated stores to strengthen its national reach.
This hybrid approach allows the brand to scale operations efficiently while maintaining control over customer experience and brand standards. The company said it remains committed to offering innovative jewellery designs while expanding its accessibility across India’s urban and semi-urban markets.
Momentum Carried from Q1 FY26
The strong second-quarter performance builds on a robust first quarter. In Q1 FY26, PC Jeweller reported:
- Total income: ₹807.88 crore (up 83.7% YoY)
- Net profit: ₹161.93 crore (up 4% YoY)
- Profit before tax: ₹163.58 crore (almost doubled YoY)
- EBITDA: ₹210 crore (up 136% YoY from ₹89 crore)
The company clarified that profit growth in Q1 appeared subdued due to a high base effect — as it had received ₹71.39 crore in tax refunds in Q1 FY25 — but operational performance remained strong.
Festive & Wedding Season Outlook
With the festive and wedding seasons approaching, the company expects sales momentum to continue into the next two quarters. Rising consumer confidence, steady gold prices, and growing preference for branded jewellery are expected to support PC Jeweller’s growth in the second half of the fiscal year.
“We are confident about building on this strong performance in the upcoming quarters and are focused on reclaiming our leadership position in the Indian jewellery market,” the company said in a statement.
Industry observers say the company’s focus on debt-free growth and franchise-led expansion could help it regain market share lost during the pandemic years.
A Strategic Turnaround Story
Once among the country’s most prominent jewellery chains, PC Jeweller has spent the last few years reworking its financial and operational model. The company’s turnaround strategy now hinges on three pillars — debt reduction, controlled expansion, and renewed consumer trust.
Market analysts view PC Jeweller’s ongoing financial restructuring as a step in the right direction. A leaner balance sheet, combined with steady top-line growth, could help the company improve margins and unlock new investment opportunities in FY26 and beyond.
Analyst Takeaway: “Debt-Free Target Inspires Confidence”
Financial experts believe that PC Jeweller’s move toward becoming debt-free is a significant step that can positively influence its valuation and investor perception. It also enables the company to allocate more resources toward marketing, design innovation, and digital retail initiatives.
If PC Jeweller sustains its revenue growth and successfully clears its debt, FY26 could mark a major comeback for the brand — setting a stronger foundation for the years ahead.
Looking Ahead
Going forward, PC Jeweller aims to:
- Expand its retail footprint across high-demand regions.
- Strengthen its franchise partnerships to boost reach.
- Continue debt reduction and enhance operational efficiency.
- Explore new-age retail strategies, including e-commerce integration.
With a strong second quarter behind it and steady festive tailwinds ahead, PC Jeweller appears well-positioned to maintain growth momentum through FY26.
Bottom Line
PC Jeweller’s Q2 FY26 results tell a clear story of resurgence — 63% revenue growth, significant debt reduction, and renewed retail expansion. As India’s love for gold continues to shine bright, the company’s disciplined approach to growth and financial restructuring signals a promising road ahead for one of the country’s leading jewellery brands.
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