Q1 2027 Sky Gold and Diamonds Ltd Earnings Call

August 10, 2026

Operator: Ladies and gentlemen, good day, and welcome to Sky Gold and Diamonds Limited Q1 FY 2027 Earnings Conference Call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Vidhi Vasa from MUFG in time. Thank you, and over to you, ma'am.

Speaker #1: As a reminder, all participant lines will be in listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes.

Speaker #1: Should you need assistance during this conference call, please signal an operator by pressing star, then zero on your touch-tone phone. Please note that this conference has been recorded.

Speaker #1: I now hand the conference over to Ms. Vidhi Vasa from MUFG. Thank you, and over to you, ma'am.

Speaker #2: Thank you, Sumit. On behalf of MUFG, I welcome you all to the Sky Gold and Diamonds Limited Q1 FY27 Earnings Conference Call. From the management side, we have Mr. Mangesh Chauhan, Managing Director, and Mr. Siddharth Sapani, Chief Financial Officer.

Vidhi Vasa: Thank you, Sumit. On behalf of MUFG in time, I welcome you all to Sky Gold and Diamonds Limited Q1 FY27 earnings conference call. From the management side, we have Mr. Mangesh Chauhan, Managing Director, and Mr. Siddharth Sipani, Chief Financial Officer. I hope everyone had an opportunity to go through our investor deck that we have uploaded on exchange and the company's website. I would like to mention a short disclaimer before we begin the call. This call may contain some of the forward-looking statements which are completely based upon our belief, opinion, and expectations as of today. These statements are not a guarantee of our future performance and involve unforeseen risks and uncertainties. With this, now I hand over the call to Mr. Mangesh Chauhan. Over to you, sir.

Speaker #2: I hope everyone had an opportunity to go through our investor deck that we have uploaded on Exchange and the company’s website. I would like to mention a short disclaimer before we begin the call.

Vidhi Vasa: I would like to mention a short disclaimer before we begin the call. This call may contain some of the forward-looking statements which are completely based upon our belief, opinion, and expectations as of today. These statements are not a guarantee of our future performance and involve unforeseen risks and uncertainties. With this, now I hand over the call to Mr. Mangesh Chauhan. Over to you, sir.

Speaker #2: This call may contain some forward-looking statements, which are completely based upon our belief, opinion, and expectations as of today. These statements are not a guarantee of our future performance and involve unforeseen risks and uncertainties.

Speaker #2: With this, I now hand over the call to Mr. Mangesh Chauhan. Over to you, sir.

Speaker #3: Thank you so much. Good afternoon, everyone. On behalf of Sky Gold and Diamond Limited, I extend a warm welcome to all the participants to the Q1 FY27 financial results earnings call.

Mangesh Chauhan: Thank you so much. Good afternoon, everyone. On behalf of Sky Gold and Diamonds Limited, I extend a warm welcome to all the participants to the Q1 FY27 financial results earnings calls. Along with me is Siddharth Sipani, our CFO. We have uploaded our investor deck and earnings press release on the stock exchanges and the company website. I hope everybody had an opportunity to go through them. Before I begin, I am delighted to share an important development in our leadership journey. We are pleased to welcome Mr. Akash Kalra as a CEO of Sky Gold and Diamonds Limited. Mr. Akash brings over two decades of rich experience across the gems and jewelry industry, with deep expertise spanning jewelry sales, merchandising, business development, and market expansion.

Speaker #3: Along with me is Siddharth Sapani, our CFO. We have uploaded our investor deck and earnings press release on the stock exchanges and the company website. I hope everybody had an opportunity to go through them.

Mangesh Chauhan: I hope everybody had an opportunity to go through them. Before I begin, I am delighted to share an important development in our leadership journey. We are pleased to welcome Mr. Akash Kalra as a CEO of Sky Gold and Diamonds Limited. Mr. Akash brings over two decades of rich experience across the gems and jewelry industry, with deep expertise spanning jewelry sales, merchandising, business development, and market expansion.

Speaker #3: Before I begin, I am delighted to share an important development in our leadership journey. We are pleased to welcome Mr. Akash Kalresha as the CEO of Sky Gold and Diamonds Limited.

Speaker #3: Mr. Akash brings over two decades of rich experience across the gemstone jewelry industry. With deep expertise spanning jewelry sales, merchandising, business development, and market expansion, he has successfully led growth initiatives, strengthened market presence, and built high-performing teams across both domestic and international markets over the course of his career.

Mangesh Chauhan: Over the course of his career, he has successfully led growth initiatives, strengthened market presence, and built high-performing teams across both domestic and international markets. At Sky Gold, we have always believed that credibility is built not through promises, but through consistent delivery. Over the last several years, we have established a track record of setting clear goals and executing against them, and returning to our stakeholders with results that validate our commitments. When we first outlined our growth roadmap, it reflected our confidence in the long-term potential of the business and the opportunities we saw ahead. Over the subsequent quarters, our team has consistently delivered on key milestones, reinforcing our confidence in both our strategy and execution capabilities. One of the strongest validation of our execution capabilities has been our ability to consistently increase our long-term targets while remaining on course to achieve them.

Speaker #3: At Sky Gold, we have always believed that credibility is built not through promises, but through consistent delivery. Over the last several years, we have established a track record of setting clear goals and executing against them, and returning to our stakeholders with results that validate our commitments.

Speaker #3: When we first outlined our growth roadmap, it reflected our confidence in the long-term potential of the business and the opportunities we saw ahead. Over the subsequent quarters, our team has consistently delivered on key milestones, reinforcing our confidence in both our strategy and execution capabilities.

Mangesh Chauhan: When we first outlined our growth roadmap, it reflected our confidence in the long-term potential of the business and the opportunities we saw ahead. Over the subsequent quarters, our team has consistently delivered on key milestones, reinforcing our confidence in both our strategy and execution capabilities. One of the strongest validation of our execution capabilities has been our ability to consistently increase our long-term targets while remaining on course to achieve them.

Speaker #3: One of the strongest validations of our execution capabilities has been our ability to consistently increase our long-term targets while remaining on course to achieve them.

Speaker #3: Our current FY27 revenue target of INR 8,100 crore is meaningfully higher than the outlook we had communicated nine months ago. This upward revision reflects the expansion of our capabilities, deeper customer relationships, and the significant opportunities we continue to see across the market.

Mangesh Chauhan: Our current FY27 revenue target of INR 8,100 crore is meaningfully higher than the outlook we had communicated 9 months ago. This upward revision reflects the expansion of our capabilities, deeper customer relationships, and the significant opportunities we continue to see across the market. Our business today stands at the intersection of three powerful capabilities: lightweight jewelry manufacturing, advanced production technology, merchandising excellence. Over the last few years, we have made substantial investment in building differentiated capabilities across 3D printing, laser cutting, stamping, and lightweight casted jewelry manufacturing. At the same time, we have significantly strengthened our design and merchandising infrastructure by doubling the size of our team and establishing dedicated product development and diamond design studios. More importantly, we increasingly see ourselves as a design-led company rather than just a B2B jewelry manufacturer.

Speaker #3: Our business today stands at the intersection of three powerful capabilities: lightweight jewelry manufacturing, advanced production technology, and merchandising excellence. Over the last few years, we have made substantial investments in building differentiated capabilities across 3D printing, laser cutting, stamping, and lightweight casted jewelry.

Mangesh Chauhan: Over the last few years, we have made substantial investment in building differentiated capabilities across 3D printing, laser cutting, stamping, and lightweight casted jewelry manufacturing. At the same time, we have significantly strengthened our design and merchandising infrastructure by doubling the size of our team and establishing dedicated product development and diamond design studios. More importantly, we increasingly see ourselves as a design-led company rather than just a B2B jewelry manufacturer.

Speaker #3: Jewelry manufacturing. At the same time, we have significantly strengthened our design and merchandising infrastructure by doubling the size of our team and establishing dedicated product development and diamond design studios.

Speaker #3: More importantly, we increasingly see ourselves as a design-led company rather than just a B2B jewelry manufacturer. Our focus extends beyond manufacturing excellence to create compelling, market-relevant jewelry concepts that help our retail partners differentiate themselves in an increasingly competitive environment.

Mangesh Chauhan: Our focus extends beyond manufacturing excellence to create compelling market-relevant jewelry concepts that help our retail partners differentiate themselves in an increasingly competitive environment. By combining advanced manufacturing capability with strong design, merchandising, and our product development expertise, we are able to deliver innovative collections that drive faster selling through improved inventory productivity and create value for both our customers and end consumers. This evolution has fundamentally transformed the way we engage our customers. Unlike traditional manufacturing partners who primarily offer standard catalogs, Sky Gold increasingly works alongside retailers as a product development partner. We study their product mix, understand their competitive environment, analyze consumer preference, create themes, develop prototypes, and collaborate closely until products are finalized for launch.

Speaker #3: Our combining advanced manufacturing capability with strong design, merchandising, and our product development expertise, we are able to deliver innovative collections that drive faster selling through.

Speaker #3: Improve inventory productivity and create value for both our customer and end consumers. This evolution has fundamentally transformed the way we engage our customers. Unlike traditional manufacturing partners, who primarily offer standard catalogs, Sky Gold increasingly works alongside retailers as a product development partner.

Mangesh Chauhan: This evolution has fundamentally transformed the way we engage our customers. Unlike traditional manufacturing partners who primarily offer standard catalogs, Sky Gold increasingly works alongside retailers as a product development partner. We study their product mix, understand their competitive environment, analyze consumer preference, create themes, develop prototypes, and collaborate closely until products are finalized for launch.

Speaker #3: We study their product mix, understand their competitive environment, analyze consumer preferences, create themed development prototypes, and collaborate closely until products are finally finalized for our launch.

Speaker #3: For launch. Ultimately, our success is measured not simply by the number of designs we showcase, but by the number of designs selected by our customer and, more importantly, how quickly those products sell through to the consumers.

Mangesh Chauhan: Ultimately, our success is measured not simply by the number of designs we showcase, but by the number of designs selected by our customer, and more importantly, how quickly those products sell through to consumers. This collaborative model has generated significant benefits for our retail partners. It has helped reduce unsold inventory, improve inventory productivity, and strengthen consumer confidence, leading to increased our share of high-value-added business. Also, what makes me proud of our team is not merely about ability to achieve revenue targets, but the quality of the growth we have delivered. You will recall that over our last few quarters we have consistently emphasized our focus on building a stronger and more efficient business rather than pursuing growth at any cost.

Speaker #3: This collaborative model has generated significant benefits for our retail partners. It has helped reduce unsold inventory, improve inventory productivity, and strengthen consumer confidence, leading to an increase in our share of high-value-added business.

Mangesh Chauhan: It has helped reduce unsold inventory, improve inventory productivity, and strengthen consumer confidence, leading to increased our share of high-value-added business. Also, what makes me proud of our team is not merely about ability to achieve revenue targets, but the quality of the growth we have delivered. You will recall that over our last few quarters we have consistently emphasized our focus on building a stronger and more efficient business rather than pursuing growth at any cost.

Speaker #3: Also, what makes me proud of our team is not merely our ability to achieve revenue targets, but the quality of the growth we have delivered.

Speaker #3: You will recall that over our last few quarters, we have consistently emphasized our focus on building a stronger and more efficient business, rather than pursuing growth at any cost.

Speaker #3: I am pleased to share that we have achieved 70.17% sales on the advanced gold model, significantly ahead of our expectation of 15% for the advanced gold model for FY27.

Mangesh Chauhan: I am pleased to say that we have achieved 17% sales on advanced gold model, significantly ahead of our expectation of 15% of advanced gold model for FY27. In addition, majority of our new orders are being booked today, carry considerably shorter receivable cycle, improving our quality of our customer mix and order book. As a result, we are closing this quarter approximately 60 days of our net working capital cycle. At that time, many questioned whether reducing working capital below 60 days was achievable. Today, we are demonstrating that it is not only achievable but also sustainable through disciplined execution and strong operational focus. While the natural diamonds currently contribute approximately 2% of our overall business, presenting significant headroom for future growth.

Speaker #3: In addition, the majority of our new orders being booked today carry a considerably shorter receivable cycle, reflecting an improvement in the quality of our customer mix and order book.

Speaker #3: As a result, we are closing this quarter at approximately 60 days of our net working capital cycle. At that time, many questioned whether reducing working capital below 60 days was achievable.

Mangesh Chauhan: At that time, many questioned whether reducing working capital below 60 days was achievable. Today, we are demonstrating that it is not only achievable but also sustainable through disciplined execution and strong operational focus. While the natural diamonds currently contribute approximately 2% of our overall business, presenting significant headroom for future growth.

Speaker #3: Today, we are demonstrating that it is not only achievable but also sustainable through disciplined execution and strong operational focus. Further, natural diamonds currently contribute approximately 2% of our overall business, presenting significant headroom for future growth.

Speaker #3: The company aims to increase this contribution over the coming years while simultaneously expanding its presence in the rapidly growing lab-grown diamond segment. Backed by strong long-term demand trends and continued focus on both natural and lab-grown diamonds, it is expected to strengthen the company's position in the diamond jewelry market and drive sustainable revenue growth and margins.

Mangesh Chauhan: The company aims to increase this contribution over the coming years while simultaneously expanding its presence in the rapidly growing lab-grown diamond segment, backed by strong long-term demand trends and continued focus on both natural and lab-grown diamonds is expected to strengthen the company's position in the diamond jewelry market and drive sustainable revenue growth and margins. The increased share of natural and lab-grown diamond studded jewelry is expected to enhance the premium product mix, thereby supporting higher gross margin. In parallel, the company is reinforcing its advanced gold business as a strategic growth pillar, leveraging its asset light and capital-efficient operating model. The approach is expected to improve return on capital employed while enabling scalable profitability and long-term business growth.

Speaker #3: The increased share of natural and lab-grown diamonds studied jewelry is expected to enhance the premium product mix, thereby supporting higher gross margin. In parallel, the company is reinforcing its advanced gold business as a strategic growth pillar.

Mangesh Chauhan: The increased share of natural and lab-grown diamond studded jewelry is expected to enhance the premium product mix, thereby supporting higher gross margin. In parallel, the company is reinforcing its advanced gold business as a strategic growth pillar, leveraging its asset light and capital-efficient operating model. The approach is expected to improve return on capital employed while enabling scalable profitability and long-term business growth.

Speaker #3: Leveraging its asset-light and capital-efficient operating model, the approach is expected to improve return on capital employed while enabling scalable profitability and long-term business growth.

Speaker #3: The continued expansion of our premium product portfolio, coupled with our capital-efficient growth strategy, reinforces our confidence in delivering sustainable and profitable growth, with strong tailwinds across natural diamonds, lab-grown diamonds, and advanced gold.

Mangesh Chauhan: The continued expansion of our premium product portfolio, coupled with our capital-efficient growth strategy, reinforces our confidence in delivering sustainable and profitable growth with strong tailwind across natural diamonds, lab-grown diamonds, and advanced gold. We remain firmly on track to achieve our aspiration of INR 8,100 crore by FY27 and INR 18,000 to 19,000 crore by FY30. Relating to profitability, over the past few quarters, I have spoken about factors driving our gross margin improvements. At that time, I had also emphasized that our profitability is not dependent on movements in gold prices because we follow strict back-to-back hedging policy. In recent quarters, heightened volatility in gold prices has created margin pressures across various retailers and manufacturers within the jewelry industry. Despite these challenges, Sky Gold has successfully maintained its margin profile, demonstrating the strength of our operating model. This performance validates our disciplined approach to risk management.

Speaker #3: We remain firmly on track to achieve our aspiration of INR 8,100 crore by FY27 and INR 18,000 to 19,000 crore by FY30. Returning to profitability.

Speaker #3: Over the past few quarters, I have spoken about factors driving our gross margin improvements. At that time, I also emphasized that our profitability is not dependent on movements in gold prices because we follow a strict back-to-back hedging policy.

Mangesh Chauhan: At that time, I had also emphasized that our profitability is not dependent on movements in gold prices because we follow strict back-to-back hedging policy. In recent quarters, heightened volatility in gold prices has created margin pressures across various retailers and manufacturers within the jewelry industry. Despite these challenges, Sky Gold has successfully maintained its margin profile, demonstrating the strength of our operating model. This performance validates our disciplined approach to risk management.

Speaker #3: In recent quarters, heightened volatility in gross prices has created margin pressures across various retailers and manufacturers within the jewelry industry. Despite these challenges, Sky Gold has successfully maintained its margin profile, demonstrating the strength of our operating model.

Speaker #3: This performance validates our disciplined approach to risk management. We are not in the business of speculating on gold prices, nor do we depend on gold price appreciation to drive profitability.

Mangesh Chauhan: We are not into the business of speculating on gold prices, nor are we dependent on gold price appreciation to drive profitability. Instead, our focus remains on factors that are within our control, enhancing operational efficiency, expanding our portfolio of value-added products, driving product innovation, strengthening manufacturing excellence, and delivering great value to our customers. The consistency of our margin during the period of significant commodity price volatility reinforces our confidence in the sustainability of our business model and the effectiveness of the systems and processes we have built over the years. Another important commitment we made to investors was that future growth would be funded predominantly through internally generated cash flows. At the time we have guided Q4 FY26, we would be close to cash flow neutral. That we have expected to begin generating positive cash flow operating flows towards last quarter of FY27.

Speaker #3: Instead, our focus remains on factors that are within our control and on enhancing professional efficiency: expanding our portfolio of value-added products, driving product innovation, strengthening manufacturing excellence, and delivering great value to our customers.

Speaker #3: The consistency of our margin, derived during the period of significant commodity price volatility, reinforces our confidence in the sustainability of our business model and the effectiveness of the systems and processes we have built over the years.

Mangesh Chauhan: The consistency of our margin during the period of significant commodity price volatility reinforces our confidence in the sustainability of our business model and the effectiveness of the systems and processes we have built over the years. Another important commitment we made to investors was that future growth would be funded predominantly through internally generated cash flows. At the time we have guided Q4 FY26, we would be close to cash flow neutral. That we have expected to begin generating positive cash flow operating flows towards last quarter of FY27.

Speaker #3: Another important commitment we made to investors was that future growth would be funded predominantly through internally generated cash flows. At the time, we had guided that in Q4 FY26 we would be close to cash flow neutral.

Speaker #3: We had expected to begin generating positive operating cash flow towards the last quarter of FY27. I am pleased to report that during this quarter, the company has generated approximately INR 30 crore in operating cash flow, marking an important milestone in our journey towards building a stronger and more self-sufficient business model.

Mangesh Chauhan: I am pleased to report that during the quarter, the company has generated approximately INR 30 crore of operating cash flow, marking an important milestone in our journey towards building a stronger and more self-sufficient business model. I would also like to reiterate a commitment that I have previously made to our investors. If the sale process were not completed within the stipulated timeframe, the promoters themselves would purchase this property. That commitment remains fully intact. A notable highlight during the quarter was the continued strength of our international business, reflecting the success of our efforts to diversify revenue streams and expand our global footprints. As a part of this strategic focus, we participated in the Asiana UK-India Jewellery Expo in London where we focused our diversified product portfolio to the broad base of international buyers.

Speaker #3: I would also like to reiterate a commitment—a commitment that I have previously made to our investors: if the sale process were not completed within the simulated time framework, the promoters themselves would purchase this property. That commitment remains fully intact.

Mangesh Chauhan: That commitment remains fully intact. A notable highlight during the quarter was the continued strength of our international business, reflecting the success of our efforts to diversify revenue streams and expand our global footprints. As a part of this strategic focus, we participated in the Asiana UK-India Jewellery Expo in London where we focused our diversified product portfolio to the broad base of international buyers.

Speaker #3: A notable highlight during the quarter was the continued strength of our international business, reflecting the success of our efforts to diversify revenue streams and expand our global footprint.

Speaker #3: As a part of this strategic focus, we participate in the Asia Asia Asiana UK India jewelry expo in London we were showcased we where we focused our diversified product portfolio to the broad base of international buyers the response was highly encouraging resulting in strong initial interest and helping us to build a prospective order pipeline of approximately 30 to 45 crore across the UK and European market.

Mangesh Chauhan: The response was highly encouraging, resulting in strong initial interest and helping us to build a prospective order pipeline of approximately INR 30 to 45 crore across the UK and European market. While these opportunities are currently at different stages of conversion, they provide meaningful validation of our product offerings, manufacturing capability, and growing acceptance in international geographies. The momentum witnessed in our export business reinforces our confidence in the long-term potential of international markets as a key growth driver for the company. Building on this early traction, we remain focused on strengthening strategic partnerships, enhancing market penetration, and expanding our distribution channels across priority regions. These initiatives supported our differentiated product portfolio and operational capabilities are expected to further accelerate export growth and diversify our revenue mix. We believe that our international expansion strategy will progressively become a significant contributor to sustainable growth and value creation over the coming years.

Speaker #3: While these opportunities are currently at different stages of conversion, they provide meaningful validation of our product offerings, manufacturing capability, and growing acceptance in international geographies.

Speaker #3: The momentum witnessed in our export business reinforces our confidence in the long-term potential of international markets as a free growth driver for the company.

Speaker #3: Building on this early traction, we remain focused on strengthening strategic partnerships, enhancing market penetration, and expanding our distribution channel across priority regions. This initiative supported our differentiated product portfolio and operational capabilities.

Mangesh Chauhan: Building on this early traction, we remain focused on strengthening strategic partnerships, enhancing market penetration, and expanding our distribution channels across priority regions. These initiatives supported our differentiated product portfolio and operational capabilities are expected to further accelerate export growth and diversify our revenue mix. We believe that our international expansion strategy will progressively become a significant contributor to sustainable growth and value creation over the coming years.

Speaker #3: We expect to further accelerate export growth and diversify our revenue mix. We believe that our international expansion strategy will progressively become a significant contributor to sustainable growth and value creation over the coming years.

Speaker #3: Equally important is our continued commitment to the highest standard of corporate governance and strong alignment with shareholder interest. Beginning with the financial year, the company's financial statements are being audited by MSK Associate LLP, which is BDO in India.

Mangesh Chauhan: Equally important is our continued commitment to the highest standard of corporate governance and strong alignment with shareholder interests. Beginning with the financial year, the company's financial statements are being audited by MSKA & Associates LLP, which is BDO in India. Being one of the largest global accounting firms, this represented a significant milestone in our ongoing journey to further strengthen governance, transparency, and financial oversight across the organization. The appointment underscores our commitment to adopting global best practices in financial reporting, compliance and risk management, and corporate governance. As we continue to scale the business, we remain focused on building a robust institutional framework that enhances accountability, strengthens stakeholder confidence, and supports sustainable long-term value creation. As promoters, we are also taking a significant step to further strengthen the alignment between management and stakeholder interests. Beginning FY27, we will adopt a zero-salary promoter compensation model.

Speaker #3: Being one of the largest global accounting firms, this represented a significant milestone in our ongoing journey to further strengthen governance, transparency, and financial oversight across the organization.

Speaker #3: The appointment underscores our commitment to adopting global best practices in financial reporting, compliance, risk management, and corporate governance. As we continue to scale the business, we remain focused on building a robust institutional framework that enhances accountability, strengthens stakeholder confidence, and supports sustainable long-term value creation.

Mangesh Chauhan: The appointment underscores our commitment to adopting global best practices in financial reporting, compliance and risk management, and corporate governance. As we continue to scale the business, we remain focused on building a robust institutional framework that enhances accountability, strengthens stakeholder confidence, and supports sustainable long-term value creation. As promoters, we are also taking a significant step to further strengthen the alignment between management and stakeholder interests. Beginning FY27, we will adopt a zero-salary promoter compensation model.

Speaker #3: As promoters, we are also taking a significant step to further strengthen the alignment between management and stakeholder interests. Beginning in FY27, we will adopt a zero-salary promoter compensation model.

Speaker #3: Going forward, promoter remuneration will be linked entirely to dividends, and dividends will be declared only from operating cash flow generated by your business. This reflects a simple philosophy: promoter reward should grow only when shareholder value is created.

Mangesh Chauhan: Going forward, promoter remuneration will be linked entirely to dividends, and dividends will be declared only from operating cash flow generated by the business. This reflects a simple philosophy. Promoter rewards should grow only when shareholder value is created. At the same time, we remain committed to prudent capital allocation of our priority. Our first priority will always be debt reduction and balance sheet strengthening. Dividend distribution will follow only after these objectives have been appropriately addressed. As we look ahead, I would like to briefly discuss our long-term strategic roadmap, which we refer to as Vision 2030 or Sky Gold 3.0. This vision is not about aggressively chasing large numbers. Rather, it is about building a business that is fundamentally stronger and more disciplined. By 2030, our aspiration is to build a company that is net debt-free.

Speaker #3: At the same time we remain committed to prudent capital allocation of our priority will at the same time we remain committed to our prudent capital allocation our first priority will always be debt reduction and balance sheet strengthening dividend distribution will follow only after this objective has been appropriately addressed.

Mangesh Chauhan: Dividend distribution will follow only after these objectives have been appropriately addressed. As we look ahead, I would like to briefly discuss our long-term strategic roadmap, which we refer to as Vision 2030 or Sky Gold 3.0. This vision is not about aggressively chasing large numbers. Rather, it is about building a business that is fundamentally stronger and more disciplined. By 2030, our aspiration is to build a company that is net debt-free.

Speaker #3: Now, as we look ahead, I would like to briefly discuss our long-term strategic roadmap, which we refer to as Vision 2030 or Sky Goal 3.0.

Speaker #3: This vision is not about aggressively chasing large numbers; rather, it is about building a business that is fundamentally stronger and more disciplined.

Speaker #3: By 2030, our aspiration is to build a company that is net debt free, with operations that maintain a highly efficient balance sheet, industry-leading working capital metrics, and consistently convert a significant portion of its earnings into sustainable operating cash flows.

Mangesh Chauhan: Operations with a highly efficient balance sheet, maintains industry-leading working capital metrics, and consistently converts a significant portion of its earnings into sustainable operating cash flows. Further, we would like to implement world-class ERP platforms and digital systems across both front-end and back-end operations. This initiative will strengthen operational controls, improve visibility, enhance scalability, and support the next phase of the company's growth journey. Moving to the financial of Q1 FY27. I will ask our CFO, Mr. Siddharth Sipani, to run down through the financial for the quarter. Over to Siddharth.

Speaker #3: Further, we would like to implement world-class ERP platforms and digital systems across both frontend and backend operations. This initiative will strengthen operational controls, improve visibility, enhance scalability, and support the next phase of the company's growth journey.

Mangesh Chauhan: This initiative will strengthen operational controls, improve visibility, enhance scalability, and support the next phase of the company's growth journey. Moving to the financial of Q1 FY27. I will ask our CFO, Mr. Siddharth Sipani, to run down through the financial for the quarter. Over to Siddharth.

Speaker #3: Moving to the financials of Q1 FY27, I will ask our CFO, Mr. Siddharth Sivani, to run through the financials for the quarter. Over to Siddharth.

Speaker #2: Thank you. Mangesh bhai, I would like to begin by highlighting that Q1 FY27 has been a very strong quarter for Sky Gold, with healthy growth across both our top line and profitability. Importantly, this growth has been accomplished by a meaningful improvement in margins, driven by the continued shift towards advanced gold and a higher contribution from value-added products.

Siddharth Sipani: Thank you, Mangesh. I would like to begin by highlighting that Q1 FY27 has been a very strong quarter for Sky Gold, with healthy growth across both our top line and profitability. Importantly, this growth has been accomplished by a meaningful improvement in margins, driven by the continued shift towards advanced gold and a higher contribution from value-added products. Before discussing the detailed financial performance, I would like to highlight three key takeaways for the quarter. First, our consolidated revenue for Q1 FY27 stood at INR 2,013 crores, registering a strong 78% year-on-year growth. On an annualized basis, this translates into a revenue run rate of approximately INR 8,050 crores, which is already very close to our FY27 revenue guidance of INR 8,100 crores. Second, we are seeing a clear improvement in the quality of our revenue and profitability.

Speaker #2: Before discussing the detailed financial performance, I would like to highlight three key takeaways for the quarter. First, our consolidated revenue for Q1 FY27 stood at ₹2,013 crore, registering a strong 78% year-on-year growth.

Siddharth Sipani: First, our consolidated revenue for Q1 FY27 stood at INR 2,013 crores, registering a strong 78% year-on-year growth. On an annualized basis, this translates into a revenue run rate of approximately INR 8,050 crores, which is already very close to our FY27 revenue guidance of INR 8,100 crores. Second, we are seeing a clear improvement in the quality of our revenue and profitability.

Speaker #2: On an annualized basis, this translates into a revenue run rate of approximately ₹8,050 crores, which is already very close to our FY27 revenue guidance of ₹8,100 crores.

Speaker #2: Second, we are seeing a clear improvement in the quality of our revenue and profitability. Our consolidated gross margin increased to 9.3% in Q1 FY27 versus 9.1% in Q4 FY26.

Siddharth Sipani: Our consolidated gross margin increased to 9.3% in Q1 FY27 versus 9.1% in Q4 FY26, an improvement of 27 basis points. This improvement has been primarily driven on account of two major factors. First, share of non-22kt jewelry has increased from 10.5% to 14% in Q1 FY27 due to structural shift in customer preference towards lower kt jewelry. Share of studded jewelry has also increased from 1.65% in Q4 FY26 to 2.1% in Q1 FY27 on account of management's focus on better margin products. This gross margin expansion is translating strongly into the bottom line. EBITDA increased to INR 157 crore to 7.8% for the quarter. Operating PAT for the quarter crossed INR 100 crore mark for the first time. We are getting a lot of Q&A on the gross margins, so I would like to spend some time giving up the breakup of our 9.3% gross margin.

Speaker #2: And improvement of 27 basis points. This improvement has been made primarily due to two major factors. First, the share of non-22 KT jewelry has increased from 10.5% to 14% in Q1 FY27, due to a structural shift in customer preference towards lower KT jewelry.

Speaker #2: Share of studied jewelry has also increased from 1.65% in Q4 '26 to 2.1% in Q1 '27 on account of management's focus on better margin products.

Siddharth Sipani: Share of studded jewelry has also increased from 1.65% in Q4 FY26 to 2.1% in Q1 FY27 on account of management's focus on better margin products. This gross margin expansion is translating strongly into the bottom line. EBITDA increased to INR 157 crore to 7.8% for the quarter. Operating PAT for the quarter crossed INR 100 crore mark for the first time. We are getting a lot of Q&A on the gross margins, so I would like to spend some time giving up the breakup of our 9.3% gross margin.

Speaker #2: This gross margin expansion is translating strongly into the bottom line. EBITDA increased to ₹157 crore, or 7.8%, for the quarter. Operating PAT for the quarter crossed the ₹100 crore mark for the first time.

Speaker #2: We are getting a lot of Q&A on the gross margins, so I would like to spend some time giving out the breakdown of our 9.3% gross margin.

Speaker #2: First, the advanced gold contributes close to 90 to 100 basis points in revenue and gross margin, since the advanced gold revenue flows into the gross profit.

Siddharth Sipani: First, the advanced gold contributes to close to 90 to 100 bps in revenue and gross margin since the advanced gold revenue flows into the gross profit. Secondly, non-22kt products. Lower kt products like 18kt, 14kt, 9kt have been gaining market share due to gold price appreciation. They now contribute close to 14% of volume and have gross margin contribution of close to 1.4% to 1.5%. Third, studded jewelry. Natural and lab-grown studded jewelry is currently at 2% of revenues, and it contributes to close to 0.3% in gross margins. Finally, if we look at 22kt gross margins, it comes to close to 6% to 6.5%. Even here, we have 70% of our products being CZ studded jewelry, while the balance close to 30% is the plain gold jewelry products having a gross margin of 5% to 5.5%.

Speaker #2: Secondly, non-KT and non-22 KT products, lower KT products like 18 KT, 14 KT, and 9 KT, have been gaining market share due to gold price appreciation.

Speaker #2: They now contribute close to 14% of volume and have a gross margin contribution of close to 1.4% to 1.5%. Third, studied jewelry—natural and lab-grown—studied jewelry is currently at 2% of revenues and it contributes close to 0.3% in gross margins.

Siddharth Sipani: Third, studded jewelry. Natural and lab-grown studded jewelry is currently at 2% of revenues, and it contributes to close to 0.3% in gross margins. Finally, if we look at 22kt gross margins, it comes to close to 6% to 6.5%. Even here, we have 70% of our products being CZ studded jewelry, while the balance close to 30% is the plain gold jewelry products having a gross margin of 5% to 5.5%.

Speaker #2: Finally if we look at 22 KT gross margins it comes to close to 6 6.5%. Even here we have 70% of our products being CG studied jewelry while the the balance close to 30% is the plain gold jewelry products having a a gross margin of 5 5.5%.

Speaker #2: Due to the above, we are confident that the margin improvement seen in Q1 is not a one-off, but a reflection of the underlying transformation in our business mix.

Siddharth Sipani: Due to the above, we are confident that the margin improvement seen in Q1 is not a one-off, but a reflection of the underlying transformation in our business mix. At the same time, we are seeing a meaningful improvement in our cash flow generation. Our cash flows from operations turned positive at close to INR 30 crore in Q1 FY27 compared to -operating cash flows till end of FY26. This improvement is particularly encouraging given the strong growth in our business during the quarter. As the contribution from advanced gold continues to increase, we expect working capital intensity of our business to moderate further, supporting stronger operating cash flow generation. Together with the significant improvement in profitability, this gives us greater confidence in our ability to progressively reduce debt and interest costs.

Speaker #2: At the same time, we are seeing a meaningful improvement in our cash flow generation. Our cash flows from operations turned positive at close to ₹30 crores in Q1 FY27, compared to negative operating cash flows till the end of FY26.

Speaker #2: This improvement is particularly encouraging given the strong growth in our business during the quarter. As the contribution from advanced gold continues to increase, we expect the working capital intensity of our business to moderate further, supporting stronger operating cash flow generation.

Siddharth Sipani: This improvement is particularly encouraging given the strong growth in our business during the quarter. As the contribution from advanced gold continues to increase, we expect working capital intensity of our business to moderate further, supporting stronger operating cash flow generation. Together with the significant improvement in profitability, this gives us greater confidence in our ability to progressively reduce debt and interest costs.

Speaker #2: Together with the significant improvement in profitability, this gives us greater confidence in our ability to progressively reduce debt and interest costs. Our objective of moving towards a net debt-free balance sheet remains firmly on track, which should provide an additional structural tailwind to our PAT margins going forward.

Siddharth Sipani: Our objective of moving towards a net debt-free balance sheet remains firmly on track, which should provide an additional structural tailwind to our PAT margins going forward. Importantly, we remain focused on ensuring that our growth is supported by disciplined working capital management, continued de-leveraging, and a higher contribution from advanced gold and value-added products. With our Q1 performance already putting us close to our FY27 revenue guidance on an annualized basis, we remain confident in our ability to deliver sustainable growth while continuing to improve the quality and profitability of our business. Now I request the moderator to open the floor for Q&A. Thank you.

Speaker #2: Importantly, we remain focused on ensuring that our growth is supported by disciplined working capital management, continued deleveraging, and a higher contribution from advanced gold and value-added products.

Speaker #2: With our Q1 performance already putting us close to our FY27 revenue guidance on an annualized basis, we remain confident in our ability to deliver sustainable growth while continuing to improve the quality and profitability of our business.

Siddharth Sipani: With our Q1 performance already putting us close to our FY27 revenue guidance on an annualized basis, we remain confident in our ability to deliver sustainable growth while continuing to improve the quality and profitability of our business. Now I request the moderator to open the floor for Q&A. Thank you.

Speaker #2: Now, I request the moderator to open the floor for Q&A. Thank you.

Speaker #1: Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone.

Operator: Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and 1 on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press stars and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Deep Shah from Aquarius Securities. Please go ahead.

Speaker #1: If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use hand signs while asking a question.

Speaker #1: Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Deep Shah from Aquarius Securities.

Speaker #1: Please go ahead.

Deep Shah: Hi, sir. Congratulations on good set of numbers, and really good to see the positive operating cash flows. Great work.

Speaker #3: Hi sir, congratulations on a good set of numbers, and it's really good to see the positive operating cash flows—great work. So, just a couple of things from my side.

Siddharth Sipani: Thank you, sir.

Deep Shah: Just couple of things from my side. First of all, sir, on the guidance side, we have been guiding INR 8,100 crore of top line this year, along with some 7.5% of EBITDA margin. When I see the Q4 run rate, I easily see Sky Gold surpassing that number. Don't you think there is a significant upside risk and, don't you think it's good to, say, revise the guidance? Any color on this thing?

Speaker #3: First of all, sir, on the guidance side, we have been guiding ₹8,100 crore of top line this year, along with some 7.5% EBITDA margin.

Speaker #3: But when I see the first quarter run rate, I think we can easily see Sky Gold surpassing that number. So, don't you think there is a significant upside risk, and don't you think it would be prudent—it's good—to say, revise the guidance? Any color on this?

Speaker #4: So, we will revise our target after Diwali. We'll analyze one more quarter, and we will give new guidance post-Diwali. That's our plan.

Siddharth Sipani: We will revise our target after Diwali. We will analyze one more quarter, and we will give our new guidance post-Diwali. That's our plan.

Mangesh Chauhan: We will revise our target after Diwali. We will analyze one more quarter, and we will give our new guidance post-Diwali. That's our plan.

Speaker #3: Okay, okay. Secondly, sir, just wanted to check—inventories days have increased compared to the fourth quarter. Anything over here? Any specific reason over here?

Deep Shah: Okay. Secondly, sir, just wanted to check, inventory days have increased compared to Q4. Anything over here? Any specific reason over here?

Speaker #2: So, on the working capital days, which was 59 days as of March, it is at 60 days as of June, per se. So, from an overall strategy side, we are focusing on increased advances in gold, plus the export business has also increased if you look at it from a quarter-on-quarter perspective.

Siddharth Sipani: On the working capital days, which was 59 days as of March, is at 60 days as of June per se. From an overall strategy side, we are focusing on increased advanced gold, plus the export business has also increased, if you look at from a quarter-on-quarter perspective. In the previous quarter, the exports was close to 14.5%, which now is at close to 18% odd. Plus, our focus is now on focusing on the higher margin products, which is mainly on the studded side. The cash flow generation which the business is having, we are deploying some part of it into the studded business as well, which has a higher margin, so that our margins and profitability could improve on a long-term basis.

Speaker #2: So, in the previous quarter, the exports were close to 14.5%, which now is at close to 18% odd. Plus, our focus is now on focusing on the higher margin products, which is mainly on the studded side. So the cash flow generation which the business is having, we are deploying some part of it into the studded business as well, which has a higher margin.

Siddharth Sipani: Plus, our focus is now on focusing on the higher margin products, which is mainly on the studded side. The cash flow generation which the business is having, we are deploying some part of it into the studded business as well, which has a higher margin, so that our margins and profitability could improve on a long-term basis. Further, as we have told in the Sky Gold 3.0 vision, that we are trying to balance all three: sales growth, profitability growth, as well as positive operational cash flow, and we are working with this in our mind per se. Thank you.

Speaker #2: So so that our margins and profitability could improve on a long term basis. Further at as we have told in the Sky Gold 3.0 vision that we are trying to balance all three sales growth profitability growth as well as positive operational cash flow and we are working with this this in our mind.

Siddharth Sipani: Further, as we have told in the Sky Gold 3.0 vision, that we are trying to balance all three: sales growth, profitability growth, as well as positive operational cash flow, and we are working with this in our mind per se. Thank you. Again, to add that we will update our revenue guidance only if we get a greater share of studded and advanced gold business.

Speaker #2: Thank you.

Speaker #4: Again, to add that, we will update our revenue guidance only if we get a greater share of studied and advanced gold business.

Mangesh Chauhan: Again, to add that we will update our revenue guidance only if we get a greater share of studded and advanced gold business.

Speaker #3: Okay, sir, I get the point on the working capital side. I just wanted to check on the inventory, because when I see that, on a sequential basis, inventory days have gone up.

Deep Shah: Okay. Sir, I get on the working capital side. I just wanted to check on the inventory, because when I see that on a sequential basis, inventory days have gone up. Is it for the festive season? I just wanted to check any specific reason over here or not.

Speaker #3: Is it before? Is it for the festive season? I just wanted to check—any specific reason over here or not?

Speaker #2: So, basically, as I informed, we are saying that we are going from a negative operating cash flow zone to a positive cash flow zone.

Siddharth Sipani: Basically, as I informed that we are going from a negative cash flow, operating cash flow zone, to a positive cash flow zone. Further, our free cash flow, even after we exclude the CapEx, that is also at a plus. We are utilizing the funds which the gold business is generating into the studded business. Since the studded business has a higher margin and a better ROC, it needs a slightly higher working capital as well. The current strategy is to put some of the funds generated from the gold business into the studded business and have a better overall margins per se.

Speaker #2: Further, our free cash flow, even after we exclude the capex, is also at a plus. So, we are utilizing the funds which the gold business is generating into the studied business.

Speaker #2: So, since the studied business has a higher margin and a better ROC, but it needs a slightly higher working current, the strategy is to put some of the funds generated from the gold business into the studied business and have better overall margins, per se.

Speaker #3: Okay, got it, sir. So, one last thing from my side: if you can just highlight the volume performance for this quarter, and also the capex plans for the years to come.

Deep Shah: Okay. Got it, sir. One last thing from my side. If you can just highlight the volume performance for this quarter and also the CapEx plans for the years to come. Last quarter, I think so we were sitting with some 50% to 55% sort of a utilization. What will be the CapEx plan? What will be the CapEx outlay for the coming years?

Speaker #3: Because last quarter I think so we were sitting with some 50 55% sort of a utilization what will be the capex plan what will be the capex outlook for the for the coming years?

Speaker #2: So as we have informed in our speech that we continue to be on the asset light model currently the capacity utilization is close to 55 57 odd percent and so we have current looking at the current projection numbers we are good till 2028 and post that we we are we may look at a a new facility but that we will continue on the least model per se and capex will not be very big it will be close to 80 to 100 cr which will be just 20 to 25% of the pat that we will generate at that point of time.

Siddharth Sipani: As we have informed in our speech that we continue to be on the asset-light model. Currently, the capacity utilization is close to 55% to 57%. We have, looking at the current projection numbers, we are good till 2028.

Deep Shah: Okay

Siddharth Sipani: Post that, we may look at a new facility, but that way we'll continue on the leased model per se, and CapEx will not be very big. It will be close to INR 80 to 100 crore, which will be just 20% to 25% of the PAT that we will generate at that point of time.

Speaker #2: Since we have we have already built a world class facility and we have already invested in the capacity and infrastructure so we we we are so so the now the the major focus is that how to balance all three levers for us in in the Sky Gold 3.0 version.

Deep Shah: Okay.

Deep Shah: We have already built a world-class facility, and we have already invested in the capacity and infrastructure. Now the major focus is that how to balance all three levers for us in the Sky Gold 3.0 version.

Siddharth Sipani: We have already built a world-class facility, and we have already invested in the capacity and infrastructure. Now the major focus is that how to balance all three levers for us in the Sky Gold 3.0 version.

Speaker #4: Kevin, we are at 60% utilization right now, and we have room to reach 40% more.

Deep Shah: Okay.

Deep Shah: We are at 60% utilization right now, and we have a room of 40%.

Mangesh Chauhan: We are at 60% utilization right now, and we have a room of 40%.

Speaker #3: Okay, got it, sir. Done. Thank you so much, and all the best for the future quarters.

Deep Shah: Okay. Got it, sir. Done. Thank you so much, and all the best for the future quarters.

Speaker #1: Thank you, ladies and gentlemen. To ensure that every participant gets an opportunity, please restrict your questions to two per participant. The next question is from the line of Palesh Kavale from Novava Wealth.

Operator: Thank you. Ladies and gentlemen, to ensure that every participant gets an opportunity, please restrict your questions to two per participant. The next question is from the line of Palash Kawale from Nuvama Wealth. Please go ahead.

Speaker #1: Please go ahead.

Speaker #4: Yeah, thank you for the opportunity, sir, and congratulations on very good setup results. First question is: sir, is there any reason for rising payable debts, and is this sustainable going forward?

Palash Kawale: Yeah, thank you for the opportunity, sir, and congratulations for very good set of results. First question is on, sir, is there any reason for rising payable days, and is this sustainable going forward?

Speaker #2: Payable debt since yeah so from the last quarter onwards we have started to give the breakup of the working capital table. So but from a overall business what we are asking is right from a overall business we look at the the total working capital which has been deployed in the business but since a lot of a lot of analyst and investors look at our business from a net working capital days that's why we have given the breakup of the the working capital cycle as well as the net working capital days that we have for the respective period.

Siddharth Sipani: Payable days. Yeah. From the last quarter onwards, we have started to give the breakup of the working capital table. From our overall business, what you're asking is right. From our overall business, we look at the total working capital, which has been deployed in the business. Since a lot of analysts and investors look at our business from a net working capital days, that's why we have given the breakup of the working capital cycle as well as the net working capital days that we have for the respective period.

Speaker #3: So, but sir, will it be sustainable going forward, the payable days that they're rising?

Palash Kawale: Sir, will it be sustainable going forward, the payable days that they're rising?

Speaker #2: Yeah since we are looking at increasing our higher margin products so in gold the credit available is virtually nil while in the diamond segment and all we are getting or it is a market practice to get the credit and that's why the number that you are seeing on the creditors it's a is a sustainable number but overall in terms of the working capital days we are at close to 60 days and in terms of strategy we are looking at reducing or improving on the working capital days by two days year on year per se with a overall target to reach to 52 days by 2030 in the Sky Gold vision 2030 that we are looking at.

Siddharth Sipani: Since we are looking at increasing our higher margin products. In gold, the credit available is virtually nil, while in the diamond segment and all, we are getting or it is a market practice to get the credit, and that's why the number that you are seeing on the credit is a sustainable number. Overall, in terms of the working capital days, we are at close to 60 days. In terms of strategy, we are looking at reducing or improving on the working capital days by 2 days, year-on-year per se, with an overall target to reach to 52 days by 2030 in the Sky Gold Vision 2030 that we are looking at.

Speaker #4: Okay, sir. Okay, thank you for that. And sir, what is the potential for the UK market, and I mean, how big can it be for us?

Palash Kawale: Okay, sir. Okay. Thank you for that. Sir, what is the potential from UK market and how big can it be for us?

Speaker #2: So, we have just entered into the market. We have done our first exhibition, and we have received an initial order of 25 to 30 kilograms.

Mangesh Chauhan: We have just entered into the market. We have done a first exhibition, and we have got a first initial order of 25 to 30 kgs. UK is about total studied and more of margin-based business. We are looking forward, and we have got good response in the exhibition for our product. We are expecting good sales, export, as we have guided, we'll go to 20% exports in coming years. We are in that direction. We want to diversify the export. Right now we are diversified. 6% is coming from UAE, 2% from Singapore, 2% from Malaysia. We are expecting 3% to 4% sales coming from Europe market. We have already started getting the orders. Let's see how it is convertible. It's more about studied and mix of gold and studied.

Speaker #2: So, the UK is about total studied and more of a margin-based business. So we are looking forward, and we have got a good response in the exhibition for our product.

Speaker #2: So, we are extending goods sales export, as we are guided that we will go to 20% exports in coming years. So, we are in the tights, and we want to diversify the export.

Mangesh Chauhan: We are in that direction. We want to diversify the export. Right now we are diversified. 6% is coming from UAE, 2% from Singapore, 2% from Malaysia. We are expecting 3% to 4% sales coming from Europe market. We have already started getting the orders. Let's see how it is convertible. It's more about studied and mix of gold and studied.

Speaker #2: Right now, we are exporting. We see diverse sales: 6% is coming from UAE, 2% from Singapore, 2% from Malaysia. So we are expecting 3% to 4% of sales to come from the European market, and we have also already started getting the orders.

Speaker #2: Let's see how it is convertible, and it's more about studded and a mix of gold and studded. Yeah, perfect. And one thing that I would just like to highlight or explain to you is that even a one-day improvement in our operating cycle leads to close to ₹90 to ₹95 crore of impact in the operating cash flow cycle.

Palash Kawale: Yeah.

Mangesh Chauhan: Okay.

Siddharth Sipani: Perfect. One thing that I would just like to highlight or just put across or explain it to you, that even 1-day improvement in our operating cycle leads to close to INR 90 to 95 crore of impact in the operating cash flow cycle. That is why our vision and our approach is balancing growth, the working capital days, as well as being in the positive zone in the operating cash flow cycle.

Speaker #2: So, that is why our vision and our approach is balancing both—balancing growth, the working capital days, as well as being in the positive zone in the operating cash flow cycle.

Speaker #4: Okay, sir, thank you for that. Thank you so much. Just last question: what is the gross debt level after the end of the quarter?

Mangesh Chauhan: Okay, sir. Thank you for that. Thank you so much. Just last question. What is the gross debt level after the end of quarter?

Palash Kawale: Okay, sir. Thank you for that. Thank you so much. Just last question. What is the gross debt level after the end of quarter?

Speaker #2: Gross debt level for this quarter is ₹540 crore.

Siddharth Sipani: Gross debt level for this quarter is INR 540 crores.

Speaker #4: Okay, sir, thank you. Thank you so much. That's it from my side, and all the best for the upcoming quarters.

Palash Kawale: Okay, sir. Thank you. Thank you so much. That's it from my side. All the best for the upcoming quarters.

Speaker #3: Thank you so much.

Siddharth Sipani: Thank you so much.

Speaker #1: Thank you. The next question is from the line of Vineet Agarwal from Bajaj Alternate. Please go ahead.

Operator: Thank you. The next question is from the line of Vineet Agarwal from Bajaj Allianz. Please go ahead.

Speaker #3: Thank you, sir, for the opportunity, and congratulations on the great numbers. So, just a couple of questions from my side. One is, Q1 typically benefits from Akshaya Tritiya and also the wedding season.

Vineet Agarwal: Thank you, sir, for the opportunity, and congratulations on great numbers. Just a couple of questions from my side. One is, Q1 typically benefits from Akshaya Tritiya and also wedding season. How much of this quarter's strength is seasonal, vis-à-vis structural step up in demand? What should we expect for the seasonally softer Q2? Second is, with the appointment of Mr. Akash as CEO, what specific priorities have you set for him, where he will be focusing on and drive over the next 12 to 18 months?

Vinit Agarwal: Thank you, sir, for the opportunity, and congratulations on great numbers. Just a couple of questions from my side. One is, Q1 typically benefits from Akshaya Tritiya and also wedding season. How much of this quarter's strength is seasonal, vis-à-vis structural step up in demand? What should we expect for the seasonally softer Q2? Second is, with the appointment of Mr. Akash as CEO, what specific priorities have you set for him, where he will be focusing on and drive over the next 12 to 18 months?

Speaker #3: So, how much of this quarter's strength is seasonal versus a structural step-up in demand, and what should we expect for the seasonally softer Q2?

Speaker #3: Second is, with the appointment of Mr. Akash as CEO, what specific priorities have you set for him? Where will he be focusing and driving over the next 12 to 18 months?

Speaker #2: Right. So again, you can see in Q1, Akshay Tritiya is there—a major season for the jewelry industry. But half of that portion goes in March month also, then in April month also—so the Akshay Tritiya delivery is gone in March and April also. So you can see from Q1, Q2 is better because Navratri and Diwali orders are in Q2. And Q3 is better than that because the total marriage season falls in Q3. So, we follow: Q1, Q2 is better than Q1, and then Q3 is better, and again, the fourth quarter, March, is better than that because Akshay Tritiya's major delivery goes in March. And Akshay Tritiya falls approximately from 20th April to 15th May.

Mangesh Chauhan: Right. Again, you can see, in Q1, the Akshaya Tritiya, there's a major season of the jewelry industry, but half a portion goes in March month also, the delivery, and in April month also. The Akshaya Tritiya delivery is gone in March and April also. You can see from Q1, Q2 is better because Navratri, Diwali orders are in Q2, and Q3 is better than that because total marriage season fall is Q3. Q2 is better than Q1, and then Q3 is better. Again, the Q4, March, is better than that because Akshaya Tritiya's major delivery goes in March, and Akshaya Tritiya falls Approximately 20 April to 15 May. There's a question on Akash we have set a new target to develop the advanced gold business much from the four large corporate we have onboarded.

Mangesh Chauhan: Q2 is better than Q1, and then Q3 is better. Again, the Q4, March, is better than that because Akshaya Tritiya's major delivery goes in March, and Akshaya Tritiya falls Approximately 20 April to 15 May. There's a question on Akash we have set a new target to develop the advanced gold business much from the four large corporate we have onboarded.

Speaker #2: So that's, again, a question on Akash. We have set up a new target to develop the market for the advance gold business. From the four large corporates we have onboarded, we have achieved 18% advance gold business. We have given him a target for this year to reach an average of 15%, next year 20%, and the third year of 2025, 25%. By 2030, we aim to achieve 30% of advance gold business, which we have set as the target. Again, we have given him the target to expand into the European market with lab-grown diamonds, since Europe is more about lab-grown and less about natural diamond jewelry.

Mangesh Chauhan: We have achieved 18% advanced gold business, and we have given him the target of this year to be average of 15%, next year 20%, and third year of 25%. In 2030, we will achieve 30% of advanced gold business, which we have given him the set target. Again, we have given him the target of Europe market to extend with lab-grown diamond and Europe is more about lab-grown and studded of natural diamond jewelry. We have now tell him to focus on diversify our export business, and given a target of 3% to 5% from UK market. Again, advanced gold business is a priority given to him and expand more about studded of diamond and lab-grown diamond jewelry.

Mangesh Chauhan: Again, we have given him the target of Europe market to extend with lab-grown diamond and Europe is more about lab-grown and studded of natural diamond jewelry. We have now tell him to focus on diversify our export business, and given a target of 3% to 5% from UK market. Again, advanced gold business is a priority given to him and expand more about studded of diamond and lab-grown diamond jewelry.

Speaker #2: So we have now told him to focus on diversifying our export business, and we have given a target of 3 to 5% from the UK market.

Speaker #2: So again, advanced gold business is a priority given to him, and expand more about study of diamond and lab-grown diamond jewelry.

Speaker #3: Understood. Thank you so much, sir, and all the best for future quarters. Thank you.

Operator 2: Understood. Thank you so much, sir, and all the best for future quarters. Thank you.

Vinit Agarwal: Understood. Thank you so much, sir, and all the best for future quarters. Thank you.

Speaker #1: Thank you. The next question is from the line of Netra Deshpande from Mirae Asset Sher Khan. Please go ahead.

Operator: Thank you. The next question is on the line of Netra Deshpande from Mirae Asset Sekuritas. Please go ahead.

Speaker #5: Yes, thank you for the opportunity, and congratulations, sir, on the solid set of numbers—especially the export-driven growth and the strong cash flow.

Netra Deshpande: Yes. Thank you for the opportunity. Congratulations, sir, for the solid set of numbers and shining numbers, especially the export-driven and the cash flow. To start with the first question, I just would like to understand about, as you said, there would be a remaining nine months or there would be a target rate of almost more than INR 8,100 crore would be the guidance that already about to surpass as 25% of growth guidance you achieved earlier. If possible, can you give me the guidance for at least few words of guidance for FY28, if possible? Because this Q1 has given a very promisingly and almost met the estimates more that earlier expected around INR 5,000 crore to INR 8,100 crore. Is it possible if you can give a growth guidance of FY28, if possible?

Speaker #5: To start with the first question, I would just like to understand: as you said, there would be a remaining 9 months, or there would be a target rate of almost more than ₹8,100 crores. Would that be the guidance? You have already surpassed about 25% of the growth guidance you achieved earlier.

Speaker #5: So if possible, can you give us some guidance, at least for FY28, if possible? Because this Q1 has been very promising and has almost met the estimates—more than what was earlier expected—around ₹5,000 crores to ₹8,100 crores.

Netra Deshpande: If possible, can you give me the guidance for at least few words of guidance for FY28, if possible? Because this Q1 has given a very promisingly and almost met the estimates more that earlier expected around INR 5,000 crore to INR 8,100 crore. Is it possible if you can give a growth guidance of FY28, if possible?

Speaker #5: So, is it possible for you to give a growth guidance for FY28, if possible?

Speaker #2: So basically in the Sky Gold 3.2 vision our strategy is to balance all three the sales the profitability and being positive OCF. Considering these and my ROC is close to 35 36% we have we have we expect that we will glow go to 32 35% in terms of the the sales increase.

Mangesh Chauhan: Basically in the Sky Gold 3.2 vision, our strategy is to balance all three, the sales, the profitability, and being a positive OCF. Considering these and my ROC is close to 35% to 36%, we expect that we will go to 30% to 35% in terms of the sales increase. We will continue to monitor our sales performance. Post September, we plan to give an estimate that what we would expect it FY27 and FY28 further. Our plan is that, overall, we are now targeting to have a operating cash flow to PAT conversion of close to 20%. That we have also provided in our IP as well. Our overall PAT margin will be close to 5% approximate, per se.

Siddharth Sipani: Basically in the Sky Gold 3.2 vision, our strategy is to balance all three, the sales, the profitability, and being a positive OCF. Considering these and my ROC is close to 35% to 36%, we expect that we will go to 30% to 35% in terms of the sales increase. We will continue to monitor our sales performance. Post September, we plan to give an estimate that what we would expect it FY27 and FY28 further. Our plan is that, overall, we are now targeting to have a operating cash flow to PAT conversion of close to 20%. That we have also provided in our IP as well. Our overall PAT margin will be close to 5% approximate, per se.

Speaker #2: and we will continue to to monitor our sales performance and post September we plan to give a an estimate that what we would expect it FY27 and FY28 further but our plan is that overall we are now targeting to have a operating cash flow to pack conversion of close to 20% the that we have also we have also provided in the in our IP as well and our overall pat margin will be close to 5% approximate percent.

Speaker #5: Okay, okay, sir, got it. So, okay. And sir, about—as you said—Q1 growth is a volume rate, not the gold price, as gold prices are not linked with this. As we are already doing a region.

Netra Deshpande: Okay, sir. Got it. Sir, about, as you said, Q1 growth is the volume rate, not the gold price, as gold prices are not linked with this, as we are already doing our hedging. Can you share a tonnage volume growth, if possible, separately to identify and understand specifically about?

Speaker #5: So, can you share a tiny volume growth, if possible, separately, to identify and understand specifically about... yeah.

Speaker #2: Yeah I can understand your question but previously Sky Gold was pre-dominantly at 22 KT company but now with the with the market trend and the customer preference and gold price is is going up the 18 KT 14 KT 9 KT studied and all has is also increasing that's why in the last quarter of of FY26 March we have we have indicated that the volume guidance that we used to give will not be the right number to be provided but overall I I can say that we have grown by 7 to 9% in the volumes in this quarter.

Mangesh Chauhan: I can understand your question. Previously, Sky Gold was predominantly a 22K company. Now with the market trend and the customer preference and gold prices going up, the 18K, 14K, 9K studded and all is also increasing. That's why, in the last quarter of FY26 March, we have indicated that the volume guidance, that we used to give, will not be the right number to be provided. Overall, I can say that we have grown by 7% to 9% in the volumes in this quarter.

Siddharth Sipani: I can understand your question. Previously, Sky Gold was predominantly a 22K company. Now with the market trend and the customer preference and gold prices going up, the 18K, 14K, 9K studded and all is also increasing. That's why, in the last quarter of FY26 March, we have indicated that the volume guidance, that we used to give, will not be the right number to be provided. Overall, I can say that we have grown by 7% to 9% in the volumes in this quarter.

Speaker #5: Okay, okay, got it. So is the 'very soon'—I mean, we can expect that there would be a tenet and the volume can be divided into the numbers and the units, specifically for each carat, so that we can get the segregations, if possible.

Netra Deshpande: Okay. Got it. Very soon, we can expect there would be a tonnage and the volume can be decided into the numbers and the units for the specifically with every carat that we can get the segregations, if possible.

Speaker #2: Sure. We will see it, and we'll try to. Thanks.

Mangesh Chauhan: Sure. We will see it and we'll try to incorporate. Thanks.

Siddharth Sipani: Sure. We will see it and we'll try to incorporate. Thanks.

Speaker #5: Okay, sir. Sir, and the last question is about the current utilization rate for Q1 FY27. Can you also brief us on the realization? What is the per unit that you consider for Q1?

Netra Deshpande: Okay, sir. Sir, the last question, it is about the current utilization rate for Q1 FY27. Can you also brief us the realization, what is the per unit that you consider for Q1?

Mangesh Chauhan: Since the volume number is not being provided, the resultant realization number will also not be available.

Siddharth Sipani: Since the volume number is not being provided, the resultant realization number will also not be available.

Speaker #2: if if the since the volume number is is is not being provided so I think from a so the resultant realization number will also not be available.

Speaker #5: Okay okay. So but current utilization rate for Q1 which must be around any or guidance for the Q2 if you can share about because the capacity utilization any okay okay you are saying okay okay from the capacity capacity utilization okay okay okay sorry I I understood something else okay so the current capacity utilization is close to 60 odd% per say and we expect that the capacity utilization should improve by 7 to 8% Q1 Q per say every time.

Netra Deshpande: Okay. Current utilization rate for Q1, which must be around any or guidance for the Q2, if you can share about, because the capacity utilization in expansion-

Mangesh Chauhan: Okay. You are saying, okay, from the capacity-

Siddharth Sipani: Okay. You are saying, okay, from the capacity-

Netra Deshpande: Capacity utilization.

Mangesh Chauhan: Okay. Sorry. I understood something else. Okay. The current capacity utilization is close to 60 odd%, per se

Siddharth Sipani: Okay. Sorry. I understood something else. Okay. The current capacity utilization is close to 60 odd%, per se We expect that the capacity utilization should improve by 7% to 8% Q1 per se every time. The volume will increase, that's why the overall capacity utilization will also increase. 1.2 tons is our capacity to produce, and we are at 60% approximate utilization in the last quarter.

Siddharth Sipani: We expect that the capacity utilization should improve by 7% to 8% Q1 per se every time. The volume will increase, that's why the overall capacity utilization will also increase. 1.2 tons is our capacity to produce, and we are at 60% approximate utilization in the last quarter.

Speaker #5: As the volume increases, that's why the overall capacity utilization will also increase.

Speaker #3: So, 1.2 tons is our capacity to produce, and we are at approximately 60% utilization in this quarter, as in the last quarter.

Netra Deshpande: In the last. Okay. Okay, sir. Okay. Thank you so much, sir, and all the best for the coming quarter. Thank you so much.

Speaker #5: In the last, okay. Q1. Okay, sir. Okay. Thank you so much, sir, and all the best for the coming quarter. Thank you so much.

Speaker #3: Thank you so much ma'am.

Siddharth Sipani: Thank you so much, ma'am.

Speaker #1: Thank you. The next question is from the line of Chintan from Giri Capital. Please go ahead.

Operator: Thank you. The next question is from the line of Chintan from Girik Capital. Please go ahead.

Speaker #3: Hi. Thank you for the opportunity, and congrats on a very good set of numbers. Sir, I think when we spoke about, you know, FY30 vision, the revenue guidance was kept — given the volatility in gold prices — the volume guidance and, sorry, revenue guidance was kept as a moving part because, underlying, gold prices also determine how the value will pan out over the course of the period, right? So our focus largely was on delivering on the volume, while…

[Analyst] (Girik Capital): Hi. Thank you for the opportunity and congrats for the very good set of numbers. Sir, I think when we spoke about FY30 vision, the revenue guidance was kept, given the volatility in gold prices, your volume guidance and, sorry, revenue guidance was kept as a moving part because underlying gold prices also determine how the value will pan out over the course of the period. Right? Our focus largely was on delivering on the volume while keeping a target of improving profitability given by the mix and whatever efficiency you guys are working on, right? Projects you are working on. We like to understand, 60% is what you mentioned, the utilization level. If you can split that between your standalone and the consolidated, how has the volume performance has been for the quarter?

Chintan Sheth: Hi. Thank you for the opportunity and congrats for the very good set of numbers. Sir, I think when we spoke about FY30 vision, the revenue guidance was kept, given the volatility in gold prices, your volume guidance and, sorry, revenue guidance was kept as a moving part because underlying gold prices also determine how the value will pan out over the course of the period. Right?

Chintan Sheth: Our focus largely was on delivering on the volume while keeping a target of improving profitability given by the mix and whatever efficiency you guys are working on, right? Projects you are working on. We like to understand, 60% is what you mentioned, the utilization level. If you can split that between your standalone and the consolidated, how has the volume performance has been for the quarter? That would be, I think, the right judgment for B2B player like yours, given that the volatility of gold prices is not in our hands, and we don't play around gold price, right?

Speaker #3: while keeping a target of improving profitability driven by the mix and whatever efficiency you guys are working on, right, projects you are working on.

Speaker #3: So, we'd like to understand—60% is what you mentioned as the utilization level. If you can split that between your standalone and consolidated, how has the volume performance been for the quarter? That would be, I think, the right judgment for a B2B player like yours, given that the volatility of gold prices is not in our hands and we don't play around with gold prices, right?

[Analyst] (Girik Capital): That would be, I think, the right judgment for B2B player like yours, given that the volatility of gold prices is not in our hands, and we don't play around gold price, right?

Speaker #2: Yeah perfect. Chintan a couple of points into it. first is I have what we have been indicating that in this Sky Gold 3.0 version we are balancing all three of them the sales growth the profitability growth as well as having a achieving the net debt free position by 2030.

Siddharth Sipani: Yeah. Perfect. Chintan, a couple of points into it. First is, we have been indicating that in this Sky Gold 3.0 version, we are balancing all three of them, the sales growth, the profitability growth, as well as achieving the net debt-free position by 2030.

Speaker #2: So considering that we are balancing this and we again stand at this point of time with the numbers that we have given for 2030 but since our ROC is more than 30% so you you can you can presumably be safely presume that the overall sales growth will be at least closer to to that number because if we try and do a higher sales growth again the operating cash flow will go into the negative zone which we have worked very very hard and we have come to the level of the operating cash flow per se.

[Analyst] (Girik Capital): Correct.

Chintan Sheth: Correct.

Siddharth Sipani: Considering that, we are balancing this, we again stand at this point of time with the numbers that we have given for 2030. Since our ROC is more than 30%, you can safely presume that the overall sales growth will be at least closer to that number. If we try and do a higher sales growth, again, the operating cash flow will go into the negative zone, which we have worked very hard, and we have come to the level of the operating cash flow per se. In terms of the revenue projection numbers, the INR 18,000 to INR 19,000 crore is what we are targeting. We are targeting how sooner can we reach the target of INR 1,000 crore of PAT, because this is the first time we have reached INR 100 crore of PAT in 3 months. This is the first time.

Speaker #2: So the so in terms of the revenue projection numbers the 18,000 to 19,000 crore is what we are targeting we are targeting how how sooner can we reach the target of 1000 crore of PAC because this is the first time we have reached 1000 100 crore of PAC in 3 months.

Siddharth Sipani: In terms of the revenue projection numbers, the INR 18,000 to INR 19,000 crore is what we are targeting. We are targeting how sooner can we reach the target of INR 1,000 crore of PAT, because this is the first time we have reached INR 100 crore of PAT in 3 months. This is the first time. Our ultimate goal or target is to cross INR 1,000 crore in PAT. With these two goals in mind and having a vision of operating cash flow and becoming the net debt-free company by 2030, we are executing this entire strategy.

Speaker #2: This is the first time. But our ultimate goal or target is to cross ₹1,000 crore in PAC, and with these two goals in mind, and having the vision of operating cash flow and becoming a net debt-free company by 2030, we are executing this entire strategy.

Siddharth Sipani: Our ultimate goal or target is to cross INR 1,000 crore in PAT. With these two goals in mind and having a vision of operating cash flow and becoming the net debt-free company by 2030, we are executing this entire strategy.

Speaker #3: Got it. So, volume—because I believe our standalone unit was operating at a higher utilization rate, right? Versus the subsidiaries Sparkling Star and Gana, which were operating at sub-50% utilization.

[Analyst] (Girik Capital): Got it. Gwalet, because I believe our standalone unit was operating at a higher utilization, right? Versus the subsidiary Sparkling Stars in Ghana, were operating at sub 50% utilization. Is there any change or should we assume both were operating at 60% level or there is a marked improvement in standalone utilization while subsidiary also has seen an improvement this quarter?

Chintan Sheth: Got it. Gwalet, because I believe our standalone unit was operating at a higher utilization, right? Versus the subsidiary Sparkling Stars in Ghana, were operating at sub 50% utilization. Is there any change or should we assume both were operating at 60% level or there is a marked improvement in standalone utilization while subsidiary also has seen an improvement this quarter?

Speaker #3: So is there any change, or should we assume both were operating at 60% level, or is there a marked improvement in standalone utilization while subsidiary also has seen an improvement this quarter?

Siddharth Sipani: Broadly, the standalone utilization, so across it is closer to 55% to 65% is the overall utilization. Somewhere it can be 55%, somewhere it can be 62%, 63%, but at a blended rate, we are close to 60-odd% of utilization.

Speaker #2: so broadly the the stand alone utilization is close to so across it is closer to to 55 to 65% is the overall utilization somewhere it can be 55 somewhere it can be 62 63 but at a but at a blended rate we are close to 60 odd% of utilization.

Speaker #3: Okay. And second question was on on the on the disclosure which we have rightly point given to exchanges. in the in the month of July 16th to July that that incident will will have any PNL impact in in our Q2 numbers given that we have disclosed the amount?

[Analyst] (Girik Capital): Okay. Second question was on the disclosure which you have rightly given to exchanges in the month of July, 16 July. That incident will have any P&L impact in our Q2 numbers given that we have disclosed the amount?

Chintan Sheth: Okay. Second question was on the disclosure which you have rightly given to exchanges in the month of July, 16 July. That incident will have any P&L impact in our Q2 numbers given that we have disclosed the amount?

Speaker #2: Yeah. So so out of that since 10.7 crore was the total amount involved but such incidents have unfortunately become increasingly prevalent across many organizations which are listed on the BSC and A and NSC and including CB has come up with the circular warning the companies to take a note of this issue which has happened we have acted promptly we have initiated the legal proceedings and I've also got favorable order as well and close to 3.5 crore has already came back to our bank accounts per se and for the balance also the the work is the efforts are underway to maximize the money that has gone out that how how that how maximum we can get the same while this is the update while we I would also like to just inform that as of the matter is currently under legal and investigative process we will not comment specifically on the on this matter per.

Siddharth Sipani: Since INR 10.7 crore was the total amount involved, such incidents have unfortunately become increasingly prevalent across many organizations which are listed on the BSE and NSE, and including SEBI has come up with a circular warning the companies to take a note of this issue which has happened. We have acted promptly. We have initiated the legal proceedings, and have also got favorable order as well. Close to INR 3.5 crore has already came back to our bank accounts per se. For the balance also, the efforts are underway to maximize the money that has gone out, that how maximum we can get the same. This is the update. I would also like to just inform that as of the matter is currently under legal and investigative process, we will not-

Siddharth Sipani: We have acted promptly. We have initiated the legal proceedings, and have also got favorable order as well. Close to INR 3.5 crore has already came back to our bank accounts per se. For the balance also, the efforts are underway to maximize the money that has gone out, that how maximum we can get the same. This is the update. I would also like to just inform that as of the matter is currently under legal and investigative process, we will not-Comment specifically on this matter first.

Siddharth Sipani: Comment specifically on this matter first.

Speaker #3: Got it. Yeah, got it. And last question was on the G advance loan. I think for Q4 we closed at 20%, and this quarter it's at 17%, right? That is correct. Okay, so yeah. So is there some sequentially—no, no, so it's not a reduction.

[Analyst] (Girik Capital): Got it.

Chintan Sheth: Got it.

Mangesh Chauhan: Yeah.

Siddharth Sipani: Yeah.

[Analyst] (Girik Capital): Got it. Last question was on the advance loan. I think Q4, we closed at 20%, and this quarter is at 17%, right?

Chintan Sheth: Got it. Last question was on the advance loan. I think Q4, we closed at 20%, and this quarter is at 17%, right?

Mangesh Chauhan: Yeah.

Siddharth Sipani: Yeah.

[Analyst] (Girik Capital): Correct? Okay.

Chintan Sheth: Correct? Okay.

Mangesh Chauhan: Yeah.

Siddharth Sipani: Yeah.

[Analyst] (Girik Capital): It is at some sequentially?

Chintan Sheth: It is at some sequentially?

Mangesh Chauhan: No, it's not a reduction. Overall, in terms of volumes, it is the same. Since

Siddharth Sipani: No, it's not a reduction. Overall, in terms of volumes, it is the same. Since

Speaker #2: Overall, in terms of volumes, it is the same, but since overall volumes have increased, as a percentage you are seeing a downward trend.

[Analyst] (Girik Capital): Okay

Chintan Sheth: Okay

Mangesh Chauhan: Overall volumes have increased, as a percentage, you are seeing a downward trend.

Siddharth Sipani: Overall volumes have increased, as a percentage, you are seeing a downward trend.

Speaker #3: Okay, got it, got it. I'll jump back into it. Thank you for answering. Again, to close this, expanding the facility is not an issue for us.

[Analyst] (Girik Capital): Okay, got it. I'll join back in. Thank you for answering.

Chintan Sheth: Okay, got it. I'll join back in. Thank you for answering.

Mangesh Chauhan: Again, to close this, expanding the facility is not an issue for us. We are not a factory which has long lead times. Our key competitive advantage is design. We are main focus on design, we can anytime make a facility in 90 to 120 days. We get a rental-free period. After 2028, we need.

Speaker #3: We are not a factory, which has long lead times. So our key competitive advantage is design. So, we are mainly focused on design, and we can, at any time, make a facility in 90 to 120 days. We get a rental-free period after 2028, which we need.

Speaker #3: Right. And continuing on that design aspect I had one question on the you know merchandising given the prices of gold is so is rising you know the entry level pricing of your products typically we started off our USPs in entry level entry level jewelries right given the lightweight and and designs we have do we feel the gold because of the increased gold prices it it becomes a little difficult in in terms of pro meeting that entry level price points or or the lowering of gramage or lowering of the caratage is the only way to to to meet that entry level price point.

[Analyst] (Girik Capital): Right. Continuing on that design aspect, I had one question on the merchandising, given the prices of gold is rising, the entry-level pricing of your products, typically, we started off our USPs in entry-level jewelry, given the lightweight and designs we have. Do we feel because of the increased gold prices, it becomes a little difficult in terms of meeting that entry-level price points? The lowering of grammage or lowering of the carats is the only way to meet that entry-level price point?

Chintan Sheth: Right. Continuing on that design aspect, I had one question on the merchandising, given the prices of gold is rising, the entry-level pricing of your products, typically, we started off our USPs in entry-level jewelry, given the lightweight and designs we have. Do we feel because of the increased gold prices, it becomes a little difficult in terms of meeting that entry-level price points? The lowering of grammage or lowering of the carats is the only way to meet that entry-level price point?

Speaker #3: So again we have largest

Mangesh Chauhan: Again, we have largest 3D printer in our facility, we have that expertise from last 20 years to read the market, what are the changes in the market, how gold prices are changing, how should be the inventory weight, what should be the entry point of the customer, what should be our average ticket price. We have that merchandising designer team keep on inventing new product, keep on lighting up the inventory, bringing up the new products for all the sectors, all the different customers. You can see we are uploading our customer feedback on our YouTube channel also about our lighter inventory, managing the ticket size of the customer, managing the flow of the design, look of the design. It's not about managing the ticket size, it's about the look should be the same, flow should be the same.

Speaker #2: 3D printer in our facility and we have that expertise from our 20 years to read the market and what are the changes in the market what how gold prices are changing how should be the inventory weight and what should be the entry point of the customer what should be our average ticket price so we have that merchandising designer team keep on inventing new new product keep on lighting of the inventory bringing up the new new product so for all the sectors all the different customers so you can see we are uploading our customer feedback on our YouTube channel also about our lighter inventory managing the ticket size of the customer managing the flow of the design look of the design it's not about managing the ticket size it's about the look should be the same flow should be the same this our feedbacks larger of our largest Damas is our largest customer in Dubai Tang in they also put the feedback so it's about teamwork and we that's our expertise come in we are a design led company and managing the inventory ticket size about the flow design caratage we keep on working on that and come up with the proper design and the and the average size and the caratage of the design so everything is available on a YouTube channel also you can see our customer feedback how we are come up with the designs and as per the gold has gone up we are cope up with the design and come up with design with sales in this gold price also.

Mangesh Chauhan: You can see we are uploading our customer feedback on our YouTube channel also about our lighter inventory, managing the ticket size of the customer, managing the flow of the design, look of the design. It's not about managing the ticket size, it's about the look should be the same, flow should be the same.

[Analyst] (Girik Capital): Got it.

Chintan Sheth: Got it.

Mangesh Chauhan: Our feedback is larger of our largest customer. Damas is our largest customer in Dubai, Tranga Jewellers in India, has also put the feedback. It's about teamwork, and that's our expertise come in. We are a design-led company, managing the inventory ticket size, about the flow, design, carats, we keep on working on that and come up with the proper design and the average ticket size and the carats of that design. Everything is available on the YouTube channel also. You can see our customer feedback, how we are come up with the designs, as per the gold rates have gone up, we have kept up with the design and come up with design with sales in this gold price also.

Mangesh Chauhan: Everything is available on the YouTube channel also. You can see our customer feedback, how we are come up with the designs, as per the gold rates have gone up, we have kept up with the design and come up with design with sales in this gold price also.

Speaker #3: Got it. Got it. Thank you. Thank you for answering the question. We'll jump back.

[Analyst] (Girik Capital): Got it. Thank you for answering the question. We'll join back.

Chintan Sheth: Got it. Thank you for answering the question. We'll join back.

Speaker #1: Thank you. The next question is from the line of Yashovardhan Agarwal from IIFL Capital Asset Management Limited. Please go ahead.

Operator: Thank you. The next question is from the line of Yashovardhan Agarwal from IIFL Capital Asset Management Limited. Please go ahead.

Speaker #3: Last thing. I think congratulations on from sir I have two questions. First one is on the margins. But if I look at the pack margins that was somewhere around 5.2% in the first quarter and the long-term vision that we have shared is around 5.25% right but the initiative that we have talked about earlier we increase the advance gold business increasing jewelry business as well as moving towards net debt positive.

Operator: Last in queue.

Yashovardhan Agarwal: Hi, team. Congratulations on good sets of number. Sir, I have two questions. First one is on the margin. Sir, if I look at the PAT margins, that was somewhere around 5.2% in Q1, and the long-term vision that we have shared is around 5.25%, right? The initiatives that we have talked about earlier, be it increasing advance gold business, increasing studded jewelry business, as well as moving towards net debt positive. Sir, all these initiatives are indicating towards increasing margin, right? Sir, what is the outlook for us adding for this 5.25% margin? How should we look at it?

Yashowardhan Agarwal: Hi, team. Congratulations on good sets of number. Sir, I have two questions. First one is on the margin. Sir, if I look at the PAT margins, that was somewhere around 5.2% in Q1, and the long-term vision that we have shared is around 5.25%, right? The initiatives that we have talked about earlier, be it increasing advance gold business, increasing studded jewelry business, as well as moving towards net debt positive. Sir, all these initiatives are indicating towards increasing margin, right? Sir, what is the outlook for us adding for this 5.25% margin? How should we look at it?

Speaker #3: So all these initiatives are indicating towards increasing margin, right? So, what is the 'R' for us, adding for this 5.25% margin? How should we look at it?

Speaker #2: So again you are right that advance gold will increase our gross margins also and again the mix will also increase and it's about blendedly we have given a mix of a range of 8 to 9% of gross margin guidance of 8.5% to 9% gross margin we are given because in the journey of business in you can see if 22 carat somebody is taking volume we have to pass on some point to 5.5 discount also to the customers whenever they are taking a huge volume so it will get diluted between this high margin product diamond and labron and again advance gold that's why we are guiding a guidance of 8.5 to 9% again we are focusing on diamond to expand to 10% advance gold 100% we will improve on the margin but our guidance remain the same from between 8.5 to 9% again scenario yeah perfect further just to take a step back this entire guidance was or the projection was prepared somewhere in the end of 2025 and we since we have projecting five year forward so that is is is why we have tried to put in a number which we see is we are confident of achieving it apart from giving the guidance to the street we continuously work and endeavor on how to improve our.

Mangesh Chauhan: Again, you are right that advanced gold business will increase our gross margins also. Again, the studded mix will also increase. It is about blendedly, we are giving a mix of a range of 8% to 9% of gross margin, guidance of 8.5% to 9% gross margin we are giving, because in the journey of business, you can see if 22kt somebody is taking volume, we have to pass on some 0.25% and 0.5% discount also to the customers whenever they are taking a huge volume. It will get diluted between this high-margin products, diamond and lab-grown, and again, advanced gold. That is why we are guiding a guidance of 8.5% to 9%. Again, we are focusing on diamond to expand to 10%, advanced gold 100% will improve on the margin, but our guidance remain the same from between 8.5% to 9%.

Mangesh Chauhan: It will get diluted between this high-margin products, diamond and lab-grown, and again, advanced gold. That is why we are guiding a guidance of 8.5% to 9%. Again, we are focusing on diamond to expand to 10%, advanced gold 100% will improve on the margin, but our guidance remain the same from between 8.5% to 9%. Again, Siddharth will add to that.

Mangesh Chauhan: Again, Siddharth will add to that.

Siddharth Sipani: Perfect. Further, just to take a step back, this entire guidance or the projection was prepared somewhere at the end of 2025. Since we are projecting five years forward, that is why we have tried to put in a number which we are confident of achieving it. Apart from giving the guidance to the street, we continuously work and endeavor on how to improve our margins, and that is why the positive fund flow which is happening from our gold business, we are trying to deploy it in a smart way into the studded business, which has a better margins percentage. Yes, from the overall guidance to the street, 5.5% of the PAT margin still holds, while we plan and aim that how can we reach the magical number of INR 1,000 crore of PAT going forward.

Speaker #2: Margins and that's why the the positive fund flow which is happening from our gold business we are trying to deploy it in a smart way into the studied business which has a better margins per so yes from the overall guidance to the street 5.25% of the pat margin is still holds while we we plan and aim that how can we reach the magical number of 1000 crore of pat going forward and the and the and we and that's why whatever steps we are taking it we are proactively take telling to the investors as well so that you can understand the implication of the same in your respective financial models.

Siddharth Sipani: Yes, from the overall guidance to the street, 5.5% of the PAT margin still holds, while we plan and aim that how can we reach the magical number of INR 1,000 crore of PAT going forward. That is why whatever steps we are taking it, we are proactively telling to the investors as well, that you can understand the implication of the same in your respective financial models.

Siddharth Sipani: That is why whatever steps we are taking it, we are proactively telling to the investors as well, that you can understand the implication of the same in your respective financial models.

Speaker #3: Got it. So, just to conclude this point, these guidance figures are on the safer side, and there is a high probability of them being improved. Is that correct?

Yashovardhan Agarwal: Got it, sir. Just to conclude this point, these guidelines are on the safer side, and there are high probability of it being moved. Is that correct? You can take it on that note. Okay. The second question is on the CapEx side. You mentioned that our capacity is building up by FY28, and around INR 80 to 100 crore of CapEx will be required, right? Sir, what is the lead time for the capacity to come? That is question A. Second, I think you mentioned earlier that will be around 15% to 20% of the PAT, right? Just more clarity on these points. Correct. It will take 120 days. Lastly, we made this facility in 90 days, where we are there now, and it will take 120 days to develop the factory to go to 1.10 to 2.40 tons.

Yashowardhan Agarwal: Got it, sir. Just to conclude this point, these guidelines are on the safer side, and there are high probability of it being moved. Is that correct? You can take it on that note. Okay. The second question is on the CapEx side. You mentioned that our capacity is building up by FY28, and around INR 80 to 100 crore of CapEx will be required, right?

Speaker #2: You can take it on that note.

Speaker #3: Okay. And the second question is on the capex side. You mentioned that we are building a our capacity is good enough by 28 and around 80 to 100 full of capex will be required right so sir what is the leap and for the capacity to come that is question eight and second I think you mentioned earlier that that will be around 15 to 20% of the pad right so this more clarity on that on these ones correct so it will take 120 days lastly we made this facility in 90 days where we are here now and it will take 120 days to develop the factory to go to 1.10 to 2.4 ton and 100% it will take 80 to 100 crore of capex when we we will be at a pad of I think 60 crore to 60 crore whatever the number it comes and it will be approximately approximately 10 15% or 40% of the pack so we will need it in after 2028 and it will take 120 days to make so approximately 75 to 100 crore of capex of machineries additional machineries and furniture fixture will be will be no huge capex because we are not going for making our own constructed factory we are an asset light model we will go in rental model and normally we we get 120 days of rental fee period from the parties for those who go give on rent and it will be approximately 10 12 to 15% of the pad of FY20 88 March.

Yashowardhan Agarwal: Sir, what is the lead time for the capacity to come? That is question A. Second, I think you mentioned earlier that will be around 15% to 20% of the PAT, right? Just more clarity on these points. Correct. It will take 120 days. Lastly, we made this facility in 90 days, where we are there now, and it will take 120 days to develop the factory to go to 1.10 to 2.40 tons.

Mangesh Chauhan: 100% it will take INR 80 to 100 crore of CapEx. We will be at a PAT of, I think around INR 60 crore. Whatever the number it comes, and it approximately 15% or 40% of the PATs. We made it in after 2028, and it will take 120 days to make. Approximately INR 75 to 100 crore of CapEx of additional machineries and furniture, fixture will be needed. There will be no huge CapEx because we are not going for making our own constructed factory. We are an asset-light model. We'll go in the rental model. Normally we get 120 days of rental free period from the parties for those who give on rent. It will be approximately 12% to 15% of the PAT of FY28 March. Perfect, sir. Thank you so much, and best wishes for the future. Thank you.

Mangesh Chauhan: There will be no huge CapEx because we are not going for making our own constructed factory. We are an asset-light model. We'll go in the rental model. Normally we get 120 days of rental free period from the parties for those who give on rent. It will be approximately 12% to 15% of the PAT of FY28 March.

Speaker #3: Perfect. So perfect. Thank you so much, and best wishes for the future. Thank you.

Yashowardhan Agarwal: Perfect, sir. Thank you so much, and best wishes for the future.

Mangesh Chauhan: Thank you.

Speaker #1: Thank you. The next question is from the line of Saga Jidwani from Philip Capital PMS. Please go ahead.

Operator: Thank you. The next question is from the line of Sagar Jethwani from PhillipCapital PMS. Please go ahead.

Speaker #4: Yeah, team, congratulations on the robust Q1. So, first question is on the client addition. We have, you know, added a few clients in the last 15 to 18 months.

Sagar Jethwani: Yeah. Team, congratulations on the robust Q1. First question is on the client addition. We have added a few clients in last 15 to 18 months, the likes of P. N. Gadgil and CaratLane. How is the ramp-up happening with those certain new clients that we have added? Second is, how many new clients that are in pipeline whom we have not served in past? That is my question one.

Speaker #4: to the likes of PN Gargil and Carrot Lane. So, how is the ramp-up happening with those certain new clients that we have added? And second is, how many new clients are there in the pipeline whom we have not served in the past?

Speaker #4: So, that is my question one.

Speaker #3: So let's just step back into this. Basically, we have onboarded Akash, who is currently designated as CEO. He was onboarded at a fixed salary plus an ESOP model, and the target that was given to him was to onboard all the large customers that were not in our client list. He has successfully done it, and that too at a much faster pace than we had actually anticipated. We anticipated that he would have done it in close to 24 to 36 months, which he has done in 15 to 18 months per seat.

Mangesh Chauhan: Let's just step back into this. Basically, we have onboarded Akash, who is currently designated as CEO. He was onboarded at a fixed salary plus an ESOP model. The target that was given to him was to onboard all the large customers that were not in our client list. He has successfully done it, and that too at a much faster pace than we have actually anticipated. We anticipated that he would have done it in close to 24 to 36 months, which he has done in 15 to 18 months. Now, our forte is the gold jewelry. Now with all of these customers being onboarded and our gold jewelry being sent to them on a regular basis, we are trying to cross-sell and upsell both. That is the current strategy that we are working on.

Mangesh Chauhan: We anticipated that he would have done it in close to 24 to 36 months, which he has done in 15 to 18 months. Now, our forte is the gold jewelry. Now with all of these customers being onboarded and our gold jewelry being sent to them on a regular basis, we are trying to cross-sell and upsell both. That is the current strategy that we are working on.

Speaker #3: So now and our forte is the gold jewelry. So now with all of these customers being onboarded and our gold jewelry being sent to them on a regular basis now we are trying to cross sell and upsell both and that is the current strategy that we are working on because I won't say that we are few countries few companies in the world who service to its top 50 large customers of its sector.

Mangesh Chauhan: I would say that we are few companies in the world who service to its top 50 large customers of its sector. In terms of customer acquisition, we are broadly there. The strategy is now how we can increase the wallet share with them, how we can do the cross-selling, and how we can do the upselling. That is through the studied business. That's the current strategy that we are working on. Again, you can see to the addition, we were into mass jewelry brands like Kalyan Jewellers, Malabar, Thangamayil Jewellery, GRT, Senco, Khazana, Lalithaa, all that. We are into the Gen Z brand also, that CaratLane, Candere. We have added recently GIVA also, which is growing in lab-grown diamond jewelry. We are getting good sales from this Gen Z brand.

Speaker #3: So in terms of customer acquisition we are broadly there the strategy is now how how we can increase the wallet share with them how we can do the cross selling and how we can do the upselling that that that that is through the studied business that the current strategy that we are working so again you can see to the addition we were into mass jewelry brands like Kalyan Joy Lucas Malbar Tangamail Joy Lucas GRT Senko Khazana Lalita all that we are we were we are into the that Zenzi brand also that currently in Kendre we have added recently Ziva also which is growing in lab grown diamond jewelry so we are getting a good sales from this Zenzi brand earlier we we two years back this Zenzi brand was slowing slowly moving and now from last two years we are seeing a drastic sales in this Zenzi brand so Ziva Carrot Lane Kendre many youngsters have come this in this exhibition also coming up with nine carat store online D2C sales lab grown diamond channel stores somebody are opening natural diamond channel stores so we are seeing a good sales from coming three years from this Zenzi brand stores also which we were not counting it two years back again your question we are increasing the wallet selling PN we are we have a good increase of wallet selling PN Gargil also and Carrot Lane also so so again Siddharth added we have onboarded all the customer and we are expecting to come up with a new Zenzi brands are coming with startup funds and all let's see and we we are onboarding them also.

Mangesh Chauhan: Again, you can see to the addition, we were into mass jewelry brands like Kalyan Jewellers, Malabar, Thangamayil Jewellery, GRT, Senco, Khazana, Lalithaa, all that. We are into the Gen Z brand also, that CaratLane, Candere. We have added recently GIVA also, which is growing in lab-grown diamond jewelry. We are getting good sales from this Gen Z brand.

Mangesh Chauhan: Earlier, two years back, this Gen Z brand was slowly moving, and from last two years, we are seeing drastic sales in this Gen Z brand. GIVA, CaratLane, Candere. Many youngsters have come in this exhibition also, coming up with 9kt store, online D2C sales, lab-grown diamond channel stores. Some are opening natural diamond channel stores. We are seeing good sales from coming three years from these Gen Z brand stores also, which we were not counting two years back. Again, your question, we are increasing the wallet share in P. N. Gadgil. We have good increase of wallet share in P. N. Gadgil also and CaratLane also. Again, Siddharth added, we have onboarded all the customers, and we are expecting to come up with the new Gen Z brands are coming in with startup funds and all.

Mangesh Chauhan: We are seeing good sales from coming three years from these Gen Z brand stores also, which we were not counting two years back. Again, your question, we are increasing the wallet share in P. N. Gadgil. We have good increase of wallet share in P. N. Gadgil also and CaratLane also. Again, Siddharth added, we have onboarded all the customers, and we are expecting to come up with the new Gen Z brands are coming in with startup funds and all. Let's see, we are onboarding them also.

Mangesh Chauhan: Let's see, we are onboarding them also.

Sagar Jethwani: Great to hear that.

Speaker #3: Thank you so much.

Mangesh Chauhan: Thank you so much.

Speaker #4: Yeah, I have one more question. Are you witnessing any further shift from, you know, unorganized to organized, given the gold volatility that we have seen in the recent past? That might be potentially benefiting you, so any thoughts on that?

Sagar Jethwani: I have one more question. Are you witnessing any further shift from unorganized to organized given the gold volatility that we have seen in recent past that might be potentially benefiting you? Any thoughts on that?

Speaker #3: Yeah, so from the unorganized to organized, that undercurrent theme is playing out in the sector in a big way. Currently, only 40% of the sector is organized and 60% of the sector is unorganized on the B2C side.

Mangesh Chauhan: From the unorganized to organized, that undercurrent theme is playing out in the sector in a big way. Currently, only 40% of the sector is organized and 60% sector is unorganized on the B2C side. While on the B2B side, only 20% is organized and 80% is unorganized. It gives a very big runway for any B2B design-led manufacturer to progress further. We are in the sweet spot of that growth at this point of time, which we expect that it should continue at least for next four or five years going forward as well. As per exports, we are expecting by 2030, 75% market will be organized and 25% will be unorganized.

Siddharth Sipani: From the unorganized to organized, that undercurrent theme is playing out in the sector in a big way. Currently, only 40% of the sector is organized and 60% sector is unorganized on the B2C side. While on the B2B side, only 20% is organized and 80% is unorganized. It gives a very big runway for any B2B design-led manufacturer to progress further. We are in the sweet spot of that growth at this point of time, which we expect that it should continue at least for next four or five years going forward as well.

Speaker #3: While on the B2C side, only 20% is organized and 80% is unorganized. So, that gives a very big runway for any B2B design-led manufacturer to progress further, and we are in the sweet spot of that growth at this point in time. We expect that it should continue at least for the next four to five years going forward as well.

Speaker #3: So as per exports, they are expecting that by 2030, 75% of the market will be organized and 25% will be unorganized.

Mangesh Chauhan: As per exports, we are expecting by 2030, 75% market will be organized and 25% will be unorganized.

Speaker #4: Oh, okay. In this ₹19,000 crore revenue target by FY30, does this include any potential acquisition?

Sagar Jethwani: Oh, okay. This INR 19,000 crore of revenue target by FY30, does this include any potential acquisition?

Speaker #3: So I think we have done with the product acquisition and the client acquisition. So I think we are on a sweet spot and having all the we have we have to just utilize our facilities which we are we are four facilities to utilize and we are focusing on the products.

Mangesh Chauhan: I think we are done with the product acquisition and the client acquisition. I think we are on a sweet spot and we have to just utilize our facilities, which we have full facilities to utilize, and we are focusing on the products. As such now, there is no such anything on the table for acquisition.

Speaker #3: So as such, now there is no such thing on the table for equation.

Speaker #4: Yeah, and then last question. Since the advanced gold share is rising and, you know, under this model we'll be booking just the making charges in the revenue, and thus the full gold sales won't be, you know, into the sales, into the revenues. So, due to this continuing shift, is that one of the reasons why you are not upgrading the revenue target?

Sagar Jethwani: Yeah. Last question, since the advanced gold share is rising, and under this model, we will be booking just the making charges in the revenue, and thus the full gold sales won't be into the revenues. Due to this continuing shift, is that one of the reason why you are not upgrading the revenue target?

Speaker #3: So again, we have not added that advance gold business revenue into that ₹18,000 crore mark. If you calculate, if we are at 30% advance gold business, it will be a ₹27,000 crore business. But that ₹9,000 crore cannot be counted in the business because it does not come in the revenue.

Mangesh Chauhan: Again, we have not added that advanced gold business revenue in that INR 18,000 crore mark. If you calculate, if we are at 30% advanced gold business, it will be INR 27,000 crore business, but that INR 9,000 crore cannot be counted in the business because it does not come in the revenue. Excluding advanced gold business, we have given a guidance of INR 18,000 crore which we make on a sales mode basis. If you go.

Speaker #3: So, excluding the advance gold business, we have given a guidance of ₹18,000 crore, which we make on a sales-mode basis. If you—yeah, just one thing to add. I have just explained in this speech as well that the advance gold model has an infinite ROC. The revenue percolates down till the gross margin level, and since it has a significant, infinite ROC, it adds to our overall objective of being cash-flow positive, and it also helps in our PAT. That is why we are focusing on it.

Siddharth Sipani: Yeah. Just one thing to add. I have just explained on the speech as well that advanced gold model has an infinite ROC. The revenue percolates down till the gross margin level. Since it has a significant infinite ROC, it adds to our overall objective of cash flow positive, and it also helps in our PAT. That is why we are focusing on it. The overall, in terms of the absolute number, it is very less. It is less than 1% of the sales in terms of the absolute number per se. It will not be so significant in the overall scheme of things per se, especially in terms of the projection that we have given for 2030.

Speaker #3: Overall, in terms of the absolute number, it is very low—it is less than 1% of sales in terms of the absolute number, per se.

Speaker #3: So, it will not be so significant in the overall scheme of things, per se, especially in terms of the projection that we have given for 2030.

Speaker #4: Understood. Thank you so much.

Sagar Jethwani: Understood. Thank you so much.

Speaker #1: Thank you. Ladies and gentlemen, due to time concerns, that was the last question. I would now like to hand the conference over to the management for closing comments.

Operator: Thank you. Ladies and gentlemen, due to time constraint, that was the last question. I would now like to hand the conference over to the management for closing comments.

Speaker #3: Thank you so much. Before I conclude, I would like to sincerely thank everyone for joining us today and taking time to participate in our Q1 FY27 earnings call.

Mangesh Chauhan: Thank you so much. Before I conclude, I would like to sincerely thank everyone for joining us today and taking time to participate in our Q1 FY27 earnings calls. I would like to thank all our investors, customers, employees, business partner, and stakeholder for their continued trust and support. We have listened carefully to the feedback we have received from the investment community over the last several quarters. Many of the improvements you see today across operations, working capital management, governance, profitability, and cash flow generation have been influenced by that constructive feedback. We value this engagement immensely. While we are proud of the progress we have made, we recognize that our journey is far from complete. We remain open to suggestions and committed to continuous improvement as we build Sky Gold into one of India's most admired jewelry manufacturing companies.

Speaker #3: I would like to thank all our investors, customers, employees, business partners, and stakeholders for their continued trust and support. We have listened carefully to the feedback we have received from the investment community over the last several quarters.

Speaker #3: Many of the improvements you see today across operations, working capital management, governance, profitability, and cash flow generation have been influenced by that constructive feedback.

Speaker #3: We value this engagement immensely. While we are proud of the progress we have made, we recognize that our journey is far from complete.

Mangesh Chauhan: We value this engagement immensely. While we are proud of the progress we have made, we recognize that our journey is far from complete. We remain open to suggestions and committed to continuous improvement as we build Sky Gold into one of India's most admired jewelry manufacturing companies. Thank you for your continued confidence in Sky Gold and Diamonds Limited. We look forward to create sustainable value for all stakeholders in the years ahead. Thank you. Thank you so much.

Speaker #3: We remain open to suggestions and are committed to continuous improvement as we build Sky Gold into one of India's most admired jewelry manufacturing companies.

Speaker #3: Thank you for your continued confidence in Sky Gold and Diamonds Limited. We look forward to creating sustainable value for all stakeholders in the years ahead.

Mangesh Chauhan: Thank you for your continued confidence in Sky Gold and Diamonds Limited. We look forward to create sustainable value for all stakeholders in the years ahead. Thank you. Thank you so much.

Speaker #3: Thank you. Thank you so much.

Speaker #1: Thank you. On behalf of Sky Golds and Diamonds Limited that concludes this conference. Thank you for joining us and you may now disconnect your lines.

Operator: Thank you. On behalf of Sky Gold and Diamonds Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.

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Q1 2027 Sky Gold and Diamonds Ltd Earnings Call

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