Sky Gold and Diamonds shares rally 10% after Q1 profit soars 141% YoY, revenue rises 78%

Published 10 August 2026 · finance

Shares of Sky Gold and Diamonds rallied sharply on Monday, gaining 9.53% to Rs 787.80, after the jewellery manufacturer reported a strong performance for the

Shares of Sky Gold and Diamonds rallied sharply on Monday, gaining 9.53% to Rs 787.80, after the jewellery manufacturer reported a strong performance for the first quarter of FY27. The company posted robust growth in revenue, EBITDA and net profit, supported by sustained demand for lightweight and value-added jewellery and rising traction among organised jewellery retailers.Sky Gold and Diamonds reported a 77.9% year-on-year (YoY) increase in revenue to Rs 2,012.8 crore in Q1FY27, compared with Rs 1,132 crore in the corresponding quarter last year.The company's bottom line witnessed an even sharper improvement. Net profit surged 140.7% YoY to Rs 104.9 crore against Rs 43.6 crore in Q1FY26, marking nearly a 2.4-fold jump in profitability.Operating performance was also strong, with EBITDA rising 119.6% YoY to Rs 156.7 crore, against Rs 71.4 crore in the year-ago quarter.The strong quarterly numbers indicate continued operating leverage as the company scales its manufacturing and expands its presence across the organised jewellery segment.Management commentaryCommenting on the Q1FY27 performance, Mangesh Chauhan, Managing Director, Sky Gold and Diamonds, said the jewellery industry is increasingly shifting towards organised players, design-led consumption and more capital-efficient growth.He said Sky Gold is well positioned to benefit from this transition, supported by strong retailer partnerships, manufacturing agility and an expanding product portfolio.According to the management, the first quarter marked a strong start to FY27, with robust growth and sustained improvement in margins driven by disciplined execution and operating efficiencies.

The company also highlighted continued healthy demand for lightweight, versatile and value-added jewellery. Its early focus on ultra-lightweight products, along with an expanding portfolio of lower-carat and diamond-studded jewellery, is helping it respond to changing consumer preferences.The company further said its asset-light manufacturing model, rising contribution from its advanced-gold business and shorter export receivable cycles are improving capital efficiency and cash generation. Sky Gold said it has achieved positive operating cash flow for the business.Looking ahead, the company remains focused on its FY27 revenue target of Rs 8,100 crore-plus, while balancing revenue growth, profitability and cash-flow generation.FIIs and mutual funds increase stakeForeign Institutional Investors (FIIs) increased their stake in Sky Gold and Diamonds from 1.20% to 2.79% during the quarter. Meanwhile, Mutual Funds also raised their holding from 10.33% to 11.03%.The increase in institutional participation comes alongside strong earnings growth and could add to investor interest in the stock.Sky Gold and Diamonds stock performanceThe strong quarterly results come at a time when the stock has already been witnessing significant buying interest.