Jewellery Stock Skyrockets 14% After Announcing Strong Q3 Business Updates and FY26 Outlook

Synopsis: Senco Gold Limited reported 51% Q3 FY26 growth versus 6.5% Q2, driving 31% nine-month growth and Rs 8,000 crore TTM revenue. With 196 stores, targets 18-20% growth through studded jewellery, supporting over 25% FY26 growth.

This Jewellery Stock, engaged in manufacturing, trading, and retailing gold, diamond, silver, platinum, and gemstone jewellery across India through its branded showrooms, jumped upto 14 percent after the company announced strong Q3 Updates and FY26 Outlook.

With a market capitalization of Rs. 5,906.96 crores, the share of Senco Gold Limited has reached an intraday high of Rs. 368.85 per equity share, rising nearly 13.97 percent from its previous day’s close price of Rs. 323.65. Since then, the stock has retreated and is currently trading at Rs. 360.80 per equity share. 

Reason Behind the Surge

Senco Gold Limited reported strong sales momentum, delivering 51% year-on-year growth in Q3 FY26, a sharp improvement over 6.5% growth in Q2 and 28% in Q1. This helped the company achieve around 31% growth over the first nine months, with trailing twelve-month revenue reaching nearly Rs. 8,000 crore, supported by brand strength and a loyal customer base.

Q3 growth was driven by retail business growth of about 49 percent and same-store sales growth (SSSG) of nearly 39 percent. Over nine months, topline growth of 31 percent included SSSG of around 21 percent. Festive campaigns, new designs, wedding demand, and higher festive season footfalls boosted sales. Diamond jewellery also performed well, posting 36 percent YoY growth in Q3 and 34 percent growth over nine months.

Showroom Expansion

During Q3 FY26, Senco Gold Limited expanded its retail footprint by opening four new franchise showrooms, increasing the total network to 196 showrooms, including eight Sennes and two international outlets. 

Over the first nine months, the company added 11 franchise stores and five company-owned stores. Senco Gold Limited’s new locations in Hazaribagh, Etawah, Burdwan, and Bikaner, along with Nagpur earlier, highlight strong franchise demand beyond eastern India.

FY26 Outlook

Senco Gold Limited remains focused on sustaining growth despite high gold prices for FY26. After successfully capitalising on the festive demand in Q3, the company is optimising its inventory toward lightweight and budget-friendly jewellery. 

The company is well prepared for the Q4 wedding season, Valentine’s Day, International Women’s Day, and regional festivals. Growth is expected to be driven by curated collections in the studded jewellery segment, targeting 18-20 percent growth.

On the expansion front, the company is on track to meet its FY26 target of opening 20 new showrooms. Plans include launching 3-4 additional stores under the COCO and FOCO models, reaching the milestone of 200 showrooms. With a strong expansion pipeline, Senco remains confident of delivering more than 25 percent growth in FY26.

Company Overview

Senco Gold Limited was originally incorporated as Senco Gold Private Limited on August 22, 1994, and is a Kolkata-based jewellery retailer. The company manufactures and trades gold, diamond, silver, platinum and gemstone jewellery, selling through Senco Gold & Diamonds-branded showrooms across India.

Recent Quarter Results

Coming into financial highlights, Senco Gold Limited’s revenue has increased from Rs. 1,500 crore in Q2 FY25 to Rs. 1,536 crore in Q2 FY26, which has grown by 2.40 percent. The net profit has also grown by 308.33 percent from Rs. 12 crore in Q2 FY25 to Rs. 49 crore in Q2 FY26.

In terms of return ratios, the company’s ROCE and ROE stand at 10.3 percent and 9.54 percent, respectively. Senco Gold Limited has an earnings per share (EPS) of Rs. 15.2, and its debt-to-equity ratio is 1.17x.

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