| FY26 Revenue | ₹8,430 Cr33% YoY Growth |
|---|---|
| Market Cap | ₹5,719.6 CrGems & Jewellery |
| PE Ratio (TTM) | 11.92Sector PE 52.7 |
| RSI | 57.8Neutral Zone |
Key highlights
- Annual revenue for FY26 reached ₹8,430 crore, representing a 33% YoY growth and beating the 25% guidance.
- Profit After Tax (PAT) for the fiscal year climbed 261% to ₹574 crore, driven by margin expansion and gold price gains.
- EBITDA margins for FY26 improved to 11.5% compared to 5.8% in the previous year.
- The company expanded its retail presence by launching 26 new showrooms during FY26, bringing the total to a significant national footprint.
- While gold volumes declined by 6%, silver and diamond volumes grew by 35% and 9% respectively.
- Management has guided for a 20%+ revenue growth for FY27 with a sustainable EBITDA margin target of 7.5%-7.8%.
Financial Performance and Profitability
Senco Gold delivered a robust financial performance in FY26, characterized by high-double-digit growth across key metrics. The company reported a consolidated revenue of ₹8,430 crore, marking a 33% increase over the previous fiscal year. This growth was particularly pronounced in Q4, where revenue rose 45% YoY.
The bottom line saw an even more dramatic improvement, with Net Profit rising by 261% to ₹574 crore. This surge was partially attributed to inventory gains resulting from gold price volatility. Consequently, the company reported an impressive Return on Equity (ROE) of 25.7% and a Return on Capital Employed (ROCE) of 22.5% for the year.
Management Outlook and Strategic Expansion
Looking ahead to FY27, management remains confident in maintaining a growth trajectory of at least 20%. The company plans to add 18 to 20 new showrooms to its network, following the successful launch of 26 showrooms in FY26. While the FY26 EBITDA margin of 11.5% was bolstered by one-time gains, the management has outlined a sustainable long-term margin target of 7.5% to 7.8%.
The focus remains on expanding the national footprint and strengthening the product mix, particularly in the high-margin diamond and lightweight jewellery segments, which continue to see healthy volume growth despite fluctuations in gold prices.
Sector Dynamics and Volume Trends
- Strong wedding season demand continues to be the primary driver for high-value jewellery purchases in India.
- Gold volumes faced a 6% decline YoY due to high price points, leading consumers toward lighter designs.
- The Silver segment witnessed a significant 35% volume growth, reflecting a shift in consumer preference and gifting trends.
- Diamond jewellery volumes grew by 9%, contributing to overall margin stability and segment diversification.
- The industry is seeing a consistent shift from unorganised local players to established national brands like Senco.
Operational and Technical Metrics
Operationally, Senco Gold maintains a loyal customer base of over 3.22 million. However, inventory days remain high at 186, a metric the company will need to manage amid global economic uncertainty. On the technical front, the stock is currently trading with a Relative Strength Index (RSI) of 57.8, placing it in a neutral zone.
Its current PE ratio of 11.92 is significantly lower than the industry average of 61.39, suggesting a different valuation profile compared to its peers. The company's debt profile has shown improvement, with an Interest Coverage Ratio standing at 4.3 as of the latest reporting cycle.
What to Watch
- Execution of the planned 18-20 new showroom launches in FY27.
- Normalization of EBITDA margins toward the guided 7.5%-7.8% range as one-time inventory gains recede.
- Impact of gold price volatility on consumer volume growth, particularly in the gold jewellery segment.
- The contribution of diamond and silver segments to the total revenue mix in upcoming quarters.
“FY26 revenue growth of 33% exceeded the upper end of 25% guidance by 32%.”
| Share price | ₹349.1 |
|---|---|
| Market capitalisation | ₹5,719.61 Cr |
| Revenue (annual) | ₹6,328.07 Cr |
| Net profit (annual) | ₹159.31 Cr |
| Revenue (latest quarter) | ₹3,070.98 Cr+99.92% vs previous quarter |
| Net profit (latest quarter) | ₹264.00 Cr+441.18% vs previous quarter |
| P/E (TTM) | 11.92×Sector 52.7× |
| Promoter holding | 64.48%+0.02% QoQ |
| FII holding | 7.6%Current quarter |
Reference market data from a third-party provider, as of the story. Not a valuation or a recommendation.
Exchange filing by Senco Gold Ltd announcing annual financial results for the period ended March 31, 2026. Market figures from a third-party data provider.
