PC Jeweller Ltd. reported a sharp improvement in its September-quarter earnings, with consolidated net profit rising 57.6% year-on-year as revenue grew and operating margins expanded. The jewellery retailer also achieved a key financial milestone during the quarter by clearing its outstanding dues to all 14 consortium banks and becoming debt-free.
The company's consolidated net profit stood at Rs 331 crore in the second quarter of fiscal 2027, compared with Rs 210 crore in the corresponding period last year, according to its exchange filing on Wednesday.
Revenue from operations increased 27.8% to Rs 1,054 crore from Rs 825 crore a year earlier, reflecting continued growth in the company's business.
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Operating performance strengthened further, with earnings before interest, tax, depreciation and amortisation (EBITDA) rising 74.4% to Rs 310 crore from Rs 178 crore in the year-ago quarter. EBITDA margin expanded to 29.4% from 21.5%, indicating an improvement in operating profitability.
The results come as PC Jeweller completes a major step in its debt-reduction efforts. In its financial results highlights, the company said it had repaid its entire outstanding debt to the consortium of 14 banks on September 29, 2026, ahead of the repayment schedule under its settlement agreement dated September 30, 2024.
PC Jeweller said it now has zero bank borrowings. The lender banks also issued no-objection and no-dues letters, while the related securities, guarantees and undertakings were released following the settlement.
The company expects finance costs to decline significantly from the second half of FY27, which it said should have a positive impact on net profit.
Another development during the quarter was the recovery of around Rs 142 crore from export debtors against long-pending receivables. PC Jeweller said it had received the remittances following negotiations and the resolution of issues with export debtors. It is continuing efforts to recover the remaining outstanding export bills.
Alongside the improvement in its financial performance, PC Jeweller is preparing to expand its retail footprint. The company plans to roll out up to 100 large-format showrooms across Tier-I, Tier-II and Tier-III cities over the next 12-18 months through a mix of company-owned outlets and an asset-light franchise model.
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It has also signed memorandums of understanding with the National Skill Development Corporation and the Uttar Pradesh government under the CM YUVA scheme to expand its franchise network into smaller towns and rural markets.
PC Jeweller is also planning a new jewellery brand targeting younger consumers, with a focus on lightweight jewellery and lab-grown diamond products. Separately, its step-down subsidiary, PCJ Mining SARL, has begun on-site development work for gold mining activities in Chad, marking a step towards backward integration in gold sourcing.
The company said its showrooms are positioned to cater to demand during the festive and wedding season, which largely falls in the second half of the financial year.
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