Nityas Gems revenue rises 38% as September profit is flat

Nityas Gems and Jewellery Limited reported standalone revenue from operations of Rs 72.002 crore for the quarter ended September 30, 2026, up 37.8% from a year earlier, while net profit was Rs 5.766 crore, 1.0% below the September 2025 quarter despite the higher sales base.

What did Nityas Gems report for the September 2026 quarter?

Nityas Gems reported higher standalone sales for the quarter ended September 30, 2026, while profit after tax declined slightly year on year. Revenue from operations increased by Rs 19.753 crore from the September 2025 quarter, and total income, including Rs 87 lakh of other income, rose to Rs 72.089 crore from Rs 52.352 crore. Profit before tax remained Rs 7.146 crore in both September quarters.

The September quarter also improved from the June 2026 quarter. Revenue from operations rose from Rs 45.126 crore in June to Rs 72.002 crore in September, while net profit increased from Rs 4.697 crore to Rs 5.766 crore. Basic and diluted earnings per share, or EPS, were Rs 1.34 for September 2026, compared with Rs 1.09 in June and Rs 1.48 in September 2025. The company retrospectively adjusted the September 2025 EPS for its March 13, 2026 share split and 10:1 bonus issue.

Why did Nityas Gems profit not rise with revenue?

Nityas Gems reported total expenses rising faster than revenue in the September 2026 quarter. Total expenses increased to Rs 64.943 crore from Rs 45.205 crore a year earlier, while revenue from operations increased to Rs 72.002 crore from Rs 52.249 crore. The difference between total income and total expenses, before tax and exceptional items, consequently stayed at Rs 7.146 crore.

Cost of materials consumed was the largest expense and increased to Rs 62.319 crore from Rs 40.351 crore in the September 2025 quarter. Manufacturing expenses rose to Rs 2.447 crore from Rs 2.096 crore, employee benefit expense increased to Rs 72.3 lakh from Rs 34.3 lakh, and finance cost increased to Rs 33.6 lakh from Rs 15.3 lakh. Changes in inventories provided a credit of Rs 1.470 crore, compared with an expense of Rs 1.683 crore a year earlier, partly offsetting other cost increases.

The tax charge rose to Rs 1.380 crore in September 2026 from Rs 1.320 crore a year earlier. Current tax was unchanged at Rs 1.258 crore, but earlier-year tax was Rs 14.1 lakh, compared with Rs 6.1 lakh in the previous-year quarter. Net profit therefore declined by Rs 6 lakh even though profit before tax was unchanged. Calculated net profit as a proportion of revenue was about 8.0%, compared with about 11.2% in September 2025.

How did Nityas Gems perform in the first half of 2026-27?

Nityas Gems reported standalone revenue from operations of Rs 117.129 crore for the half year ended September 30, 2026, up 32.8% from Rs 88.179 crore in the corresponding 2025 half year. Total income increased to Rs 117.257 crore, profit before tax increased to Rs 12.837 crore from Rs 11.683 crore, and net profit rose to Rs 10.463 crore from Rs 9.579 crore.

The half-year figures also show expenses increasing more than revenue in absolute terms. Total expenses rose to Rs 104.420 crore from Rs 76.668 crore, while cost of materials consumed increased to Rs 99.834 crore from Rs 75.478 crore. Employee benefit expense rose to Rs 1.406 crore from Rs 58.5 lakh, and finance cost increased to Rs 53.8 lakh from Rs 21.5 lakh.

Other comprehensive income was Rs 21 lakh for the half year ended September 2026, compared with a loss of Rs 5 lakh in the prior-year half. Total comprehensive income was therefore Rs 10.484 crore, compared with Rs 9.573 crore. Half-year basic and diluted EPS were both Rs 2.43, matching the reported September 2025 half-year EPS after the share split and bonus issue adjustments.

What do Nityas Gems’ balance sheet and cash flows show?

Nityas Gems had total standalone assets of Rs 105.650 crore as of September 30, 2026, compared with Rs 88.023 crore on March 31, 2026. Trade receivables increased to Rs 28.611 crore from Rs 16.064 crore, while inventory rose to Rs 44.493 crore from Rs 41.054 crore. Total equity increased to Rs 74.531 crore from Rs 64.047 crore, including other equity of Rs 52.962 crore.

Current borrowings increased to Rs 13.642 crore at September 30 from Rs 8.987 crore at March 31, while the reported debt-equity ratio increased to 0.20 from 0.17. The ratio includes current and non-current borrowings and lease liabilities. The debt service coverage ratio was 17.78 in September 2026, compared with 32.30 in September 2025, and the interest service coverage ratio was 22.70, compared with 48.18.

For the half year, Nityas Gems recorded net cash used in operating activities of Rs 3.647 crore, compared with an outflow of Rs 11.241 crore in the prior-year half. The cash-flow statement recorded a Rs 12.470 crore increase in trade receivables and a Rs 3.440 crore increase in inventory. Net short-term borrowings of Rs 4.655 crore contributed to financing cash inflow, while cash and cash equivalents closed at Rs 72 lakh, compared with Rs 1.25 crore at March 31.

How reliable and comparable are the reported figures?

Nityas Gems’ September 2026 standalone results were reviewed by its audit committee and approved by its board on November 6, 2026. R P R & Co. issued an unmodified limited-review conclusion, stating that nothing had come to its attention to suggest the statement did not meet applicable reporting requirements. A limited review is narrower in scope than an audit and does not provide an audit opinion.

The auditor noted that the corresponding September 2025 quarterly and half-year standalone figures were approved by the board but were not subject to review. The company also identified the September 2025 quarter as a balancing figure between its unaudited half-year and June-quarter figures. Nityas Gems operates in a single reportable segment, manufacturing gold, silver and diamond jewellery, including laboratory-grown diamonds, and therefore did not present separate product or geographic segment data.

Conclusion

Nityas Gems delivered substantially higher standalone September-quarter revenue, but the sales increase did not translate into higher profit. Material, manufacturing, employee and finance costs lifted total expenses to Rs 64.943 crore from Rs 45.205 crore, leaving profit before tax unchanged at Rs 7.146 crore and net profit marginally lower at Rs 5.766 crore.

The filing discloses no forward revenue target, expansion plan or scheduled operating event. The next reported figures will show whether trade receivables of Rs 28.611 crore, inventory of Rs 44.493 crore, current borrowings of Rs 13.642 crore and the Rs 3.647 crore half-year operating cash outflow change alongside revenue and profitability.