Sky Gold Targets Rs 7,600-Crore Revenue By FY27

Sky Gold and Diamonds Ltd. is confident of achieving its goal of doubling revenue by FY27 with a focus on aspects like advanced gold business, onboarding of new clients and higher capacity utilisation. The B2B jewellery manufacturer has set a revenue target of Rs 7,600 crore by the financial year 2026-27.

Speaking to NDTV Profit on Thursday, the company's Managing Director, Mangesh Chauhan, emphasised that the focus on expanding advanced gold business and growing preference for lightweight jewellery among customers will be the key factors behind the revenue growth.

“We have onboarded new clients and are actively driving and boosting the advanced gold business. We are expecting advanced gold business to contribute around 7.5% this year and 10% next year. This will directly help in improving our Ebitda and gross margin growth. Additionally, we are launching new lightweight jewellery, which supports better margins,” he explained.

The company posted a strong Q1FY26 growth, which was driven by new product launches, including 18-carat, white gold and studded jewellery. The gold jewellery designer's net profit more than doubled to Rs 43 crore in Q1FY26 compared to Rs 21 crore in the same quarter of the preceding fiscal. Its consolidated revenue surged 56.5% to Rs 1,131 crore from Rs 723 crore in Q1FY25.

“We have had good growth around 40 to 45%. We did a fundraiser just last year and infused capital into both our subsidiaries and the parent company. We've introduced new products and designs in 22-carat gold, and also launched 18-carat gold, white gold jewellery, and studded jewellery. All of these have driven our sales, both in volume and value,” Chauhan said.

The MD explained that Sky Gold has focussed on adding not just large corporations to its client list but also mid-sized firms and even clients with three to five stores.

“We have added new clients in the last three quarters, including mid-sized corporates, those with 15 to 20 stores, as well as smaller ones with three to five stores. So, we now have a mixed revenue base from all types of clients. These clients are opening stores at a 30% run rate and we are gaining market share. We are supplying inventory not only to newly opened stores but also to existing ones,” he explained Sky Gold's expansion model.

Sky Gold's clients are expected to launch 2,500 new stores across India, which, coupled with factors like demand and shift from unorganised market, will drive long-term growth.

“Out of a total market of Rs 9 to 10 lakh crore, only 35% is currently organised, while 60–65% remains unorganised. Over the next two to five years, this shift is expected to accelerate significantly, and it will support our growth at this stage. Our clients are opening new stores at a 30% run rate, with some even expanding at 40%. Over the next two years, around 2,500 new stores are expected to open in the market. This expansion will directly support our sales,” he noted.

Shares of Sky Gold and Diamonds Ltd. were locked in 5% lower circuit at Rs 307.8 per piece on the NSE, compared to the benchmark Nifty50 settling 0.63% lower at 25,062.1.