Kalyan Jewellers reported a strong FY26 with ₹35,743 crore in revenue and ₹1,350 crore net profit, a 42.7% and 89% jump respectively. The company is expanding via its asset-light FOCO model and plans 150 new showrooms in FY27.
Kalyan Jewellers India FY26 Profit Soars 89% to ₹1,350 Crore
Revenue grew 42.7% to ₹35,743 crore, EBITDA up 64% to ₹2,491 crore. Reader Takeaway: Strong profit growth driven by asset-light expansion; watch showroom growth and new regional brand performance. ## What just happened Kalyan Jewellers India Ltd reported robust financial results for the fiscal year ended March 31, 2026. Consolidated revenue reached ₹35,743 crore, marking a significant year-on-year increase of 42.7%. The company also saw its net profit surge by 89% to ₹1,350 crore. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 64% to ₹2,491 crore. The company's balance sheet also improved, with its non-Gold Metal Loan debt in India reducing to approximately ₹317 crore from nearly ₹1,300 crore three years ago, aided by the utilization of free cash flows. Return on Capital Employed (RoCE) improved to 28.8%, and Return on Equity (RoE) rose to 24.3%. ## Why this matters These results underscore the effectiveness of Kalyan Jewellers' multi-brand strategy and its capital-efficient Franchisee-Owned, Company-Operated (FOCO) expansion model. The significant jump in profit and revenue, coupled with deleveraging and improved return ratios, indicates strong operational performance and financial health. The company's expansion plans, including opening 150 new showrooms in FY27 across its brands and a new regional brand launch, signal aggressive growth ambitions. The successful turnaround of its online brand, Candere, adding ₹425 crore in revenue and turning PAT positive, is also a key positive. ## The backstory As of March 31, 2026, Kalyan Jewellers operated a network of 466 showrooms in India (including Candere) and 41 international showrooms. The company has been strategically focusing on the asset-light FOCO model to accelerate expansion without a heavy capital burden. This approach has helped improve profitability and capital efficiency over recent years. ## What changes now The company has proposed a final dividend of ₹2.5 per equity share, subject to shareholder approval. Management has guided for aggressive expansion in FY27, aiming to open 150 new showrooms. They also indicated plans to repay remaining non-GML debt, freeing up capital for future investments. The launch of its first regional brand, Akshaya Thanga Maligai (ATM) in Tamil Nadu, signifies a new growth avenue, with plans to replicate this strategy in other states over the next five to seven years. ## Risks to watch Potential risks include volatility in gold prices, which can impact demand and margins, although the company notes demand remains resilient. The competitive landscape in the organized jewellery sector also poses a challenge, though mandatory hallmarking and sector formalization are seen as tailwinds for established brands. ## Peer comparison (No peer comparison data provided in the filing.) ## Context metrics (time-bound) * FY26 Consolidated Revenue: ₹35,743 Crore (42.7% YoY growth) * FY26 Consolidated PAT: ₹1,350 Crore (89% YoY growth) * FY26 Consolidated EBITDA: ₹2,491 Crore (64% YoY growth) * Non-Gold Metal Loan debt in India: ~₹317 Crore (down from ~₹1,300 crore 3 years prior) * RoCE: 28.8% * RoE: 24.3% * Showrooms as of 31 March 2026: 466 in India, 41 internationally * Candere Revenue FY26: ₹425 Crore ## What to track next Investors will be looking for the successful execution of the 150-showroom expansion plan for FY27. The performance of the new regional brand strategy and its scalability will also be crucial. Continued debt reduction and margin improvement will be key indicators.
