Shares of PC Jeweller surged up to 15% on July 7 after the company delivered a robust Q1 business update, adding further weight to signs of a turnaround that began earlier this year.
The jeweller reported a massive 80% year-on-year revenue growth for the April–June quarter, powered by strong wedding season demand and steady operational efficiencies. Despite facing challenges such as volatile gold prices, the company said disciplined execution and efficiency gains helped drive solid topline performance.
The firm also reiterated its ambition to become debt-free by the end of FY26, a goal it is steadily working towards. PC Jeweller has already slashed its outstanding debt by over 50% in FY25, and trimmed it further by another 7.5% in the first quarter of the current fiscal. Management added that it is actively streamlining operations across departments, with the positive impact already visible in financial results.
Momentum had already been building. In Q4FY25, the company swung back into the black with a net profit of ₹95 crore, marking a dramatic turnaround from the ₹124 crore loss that it posted in Q4FY24. Operating margins followed suit as Ebitda surged to ₹144 crore from just ₹10 crore a year earlier, while sales jumped to ₹699 crore from a mere ₹48 crore.
The sequential improvement underlines a broader recovery in consumer demand and operational efficiency, suggesting that the company’s efforts to clean up its balance sheet and stabilise core margins may finally be paying off.
With strong seasonal tailwinds, improved cost control, and a sharper focus on deleveraging, investors are warming up to the possibility of a sustained recovery. PC Jeweller, once bogged down by debt and demand concerns, now appears to be back in the spotlight for all the right reasons.
The change in investor sentiment towards the stock also reflects in the near 270% returns in the last one year.
