Kalyan Jewellers Q1 FY26: Revenue up 31% YoY

What the Q1 FY26 update tells investors

Kalyan Jewellers reported a strong operating quarter in Q1 FY26, with growth across revenue, EBITDA and profit after tax (PAT). The company linked the performance to festive and wedding-season demand across metros as well as Tier 2 and Tier 3 markets. Management also pointed to margin expansion, supported by inventory management and an improved product mix. At the same time, the update noted intermittent pauses in demand due to volatility in gold prices and geopolitical developments. The market reaction was mixed, with the stock falling sharply on one trading day despite the strong numbers.

Consolidated performance: revenue, EBITDA and PAT rose

For Q1 FY26, the company reported consolidated revenue of ₹7,268 crore, up 31% year-on-year (YoY). Consolidated EBITDA came in at ₹508 crore versus ₹368 crore in the corresponding quarter last year, indicating improved operating profitability. Consolidated PAT was reported at ₹264 crore versus ₹178 crore in the corresponding quarter of the previous year. In another summary of the same quarter, Kalyan also reported consolidated revenue as ₹72,685 million, EBITDA as ₹5,080 million and PAT as ₹2,641 million, which aligns with the ₹7,268 crore, ₹508 crore and ₹264 crore figures when converted into ₹ crore.

India business led growth in the quarter

Kalyan’s India operations contributed the bulk of revenue and posted strong year-on-year expansion. India revenue for Q1 FY26 was ₹6,142 crore, compared with ₹4,681 crore in the corresponding quarter of the previous year. India EBITDA was ₹434 crore versus ₹309 crore, and India PAT was ₹256 crore versus ₹165 crore. The company also stated that standalone business recorded revenue growth of 31% and PAT growth of 55%. The domestic performance was supported by demand during Akshaya Tritiya and the wedding season.

Middle East and international business: growth reported, but with different disclosures

In the numbers summary, the company cited the breakup between India and the Middle East, and stated that the Middle East revenue grew 27% YoY. In a separate business update, it said international operations mirrored the domestic performance with 31% revenue growth year-on-year. The same set of disclosures also stated that international markets accounted for nearly 15% of consolidated revenue for the period. Taken together, the company’s disclosures show international growth remained positive, but different updates referenced 27% and 31% for international growth.

Same-store sales growth stayed in double digits

Kalyan reported healthy same-store sales growth (SSSG) during the quarter. One update put domestic same-store sales growth at around 18% for India. Another split SSSG as South at 20% and non-South at 16%. The company also said non-south markets contributed 51% to total revenue. Management noted that same-store momentum was broad-based, while non-south markets recorded higher overall revenue growth partly due to a greater number of showrooms opened in those regions over the last twelve months.

Store additions and network size at the end of the quarter

Kalyan expanded its footprint during Q1 FY26. One disclosure said the company added 10 new showrooms, taking the total to 406. Another clarified that during Q1 FY26 it added 19 new showrooms across formats, including 10 Kalyan showrooms in India, 1 in the US, and 8 Candere outlets in India. As of June 30, 2025, Kalyan said it operated 406 showrooms, including 287 in India, 36 in the Middle East, 2 in the US, and 81 under the Candere brand. The company also reiterated a plan to launch 170 new showrooms in FY26 across formats.

Candere momentum and the role of marketing

The company’s digital-first jewellery brand Candere reported strong traction. Kalyan said Candere revenue rose about 67% year-on-year, attributing the jump to a brand campaign launched in May 2025 that increased showroom footfalls, online traffic and conversions. Management also emphasised continued investment in marketing, customer engagement and the omnichannel experience. The company positioned these initiatives as key levers as it heads into the festive season.

Stock reaction: gains in some sessions, a sharp fall in another

Despite the strong quarter, the stock saw a negative reaction in one move. The company’s shares were reported down 9% to ₹551.90 after opening higher at ₹615.65. In another trading session following the business update, shares declined 3.6% to an intraday low of ₹563.05 on the BSE. The contrasting price moves suggest investors focused not only on the reported growth but also on near-term uncertainties such as gold price volatility mentioned in the update.

Analyst stance and what was highlighted post-results

Analyst commentary in the disclosures remained constructive. Citi maintained a ‘Buy’ rating and raised its price target to ₹700. The company’s commentary also included preparedness for the upcoming festive season and continued execution on store additions. Management reiterated confidence in leveraging brand recall and a pan-India presence to sustain profitable growth, while noting that demand can see pauses when gold prices are volatile.

Key Q1 FY26 figures at a glance

Why this quarter matters for the jewellery sector

The Q1 FY26 update shows how demand catalysts like Akshaya Tritiya and the wedding season can lift volumes and sales even when gold prices are volatile. The company’s reported EBITDA and PAT improvement alongside revenue growth suggests operating leverage and product-mix benefits during a strong consumption period. Kalyan’s disclosures also point to the role of network expansion, with store additions across formats and geographies. The contribution from non-south markets and the stated 51% revenue share from these regions reflects the company’s broader geographic mix.

Closing note

Kalyan Jewellers ended Q1 FY26 with higher consolidated revenue, stronger profitability and continued store expansion, while also flagging demand pauses tied to gold price volatility and geopolitical developments. The company has reiterated its plan to add 170 new showrooms in FY26 across formats, positioning execution and festive-season readiness as the next key milestones to watch.