International Gemological Institute (IGI) reported a strong Q2 FY27, with consolidated revenue rising 31% to INR 3,980 million and net profit climbing 43% to INR 1,858 million. Driven by a 26% increase in certification volumes and expansion in the lab-grown diamond segment, the company has officially upwardly revised its full-year growth guidance.
International Gemological Institute Reports Record Q2 Growth
Q2 Revenue grew 31% to INR 3,980 million; Net Profit jumped 43% to INR 1,858 million.
Reader Takeaway: Strong lab-grown diamond certification volumes drive record earnings, though competitive landscape and integration risks remain key factors.
What just happened
International Gemological Institute (IGI) delivered a strong performance for the quarter ending September 2026. The company reported a 31% year-on-year increase in revenue from operations, totaling INR 3,980 million. Profit after tax reached INR 1,858 million, a 43% increase, bolstered by expanding EBITDA margins of 61.4%.
Why this matters
The company’s performance highlights significant growth in the certification of lab-grown diamonds (LGD) and LGD jewelry, which saw growth of 37% and 47% respectively. The volume of reports issued rose by 26% to 4.35 million, demonstrating strong market demand. The acquisition of AGL also contributed to the quarter's results, accounting for roughly 2% of incremental growth.
What changes now
Management has formally revised its full-year guidance upward. The company previously projected 15% revenue and 20% EBITDA growth, but current H1 performance (27% revenue growth, 34% EBITDA growth) has far exceeded those targets. Future growth is expected to remain consistent with H1 results, supported by new operations in Italy and Botswana, and upcoming plans for Saudi Arabia.
Risks to watch
While momentum remains high, investors should watch the company’s ability to defend its market share against emerging competitors in the gemological testing space. Furthermore, the successful integration of the recently acquired AGL and the execution of ongoing international expansion projects will be critical for maintaining high margins.
What to track next
Watch for the performance of the newly established operations in Italy and Botswana in the coming quarters. Continued capacity expansion by lab-grown diamond growers will remain a key indicator of demand for IGI's certification services.