PNGS Reva Diamond Jewellery Ltd (PNGSREVA) Q2FY27 Concall Transcript - Sep-2026 Qtr
Moderator: Ladies and gentlemen, good day and welcome to the PNGS Reva Diamond Jewellery Ltd's Q2 and H1 FY27 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 the conference call, please signal an operator by pressing star, then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Suyash Sawant from Stellar Investor Relations Advisors. Thank you, and over to you, Mr. Sawant.
Suyash Sawant (Stellar Investor Relations Advisors): Thank you. Good afternoon everyone, and thank you for joining us today. We have with us today the senior management team of PNGS Reva Diamond Jewellery Ltd. Mr. Amit Modak, Whole-Time Director, Chief Executive Officer, and Mr. Aditya Modak, Non-Executive Director, who will represent PNGS Reva Diamond Jewellery Ltd on the call. The management will be sharing the key operating and financial highlights for the quarter and half year ended 30th September 2026, followed by a question and answer session. Please note, this call may contain some of the forward-looking statements which are completely based upon the company's beliefs, opinions, and expectations as of today. These statements are not a guarantee of the company's future performance and involve unforeseen risks and uncertainties. The company also undertakes no obligation to update any forward-looking statements to reflect development that occur after the statement is made. I now hand over the conference to Mr. Amit Modak. Thank you, and over to you, sir.
Amit Modak (PNGS Reva Diamond Jewellery Ltd): Thank you. Welcome to all. Wish you all the happy festival which is coming up. Already Navratri has passed on, and we all have celebrated the Navratri. So, this is our third earning call. First earning call was last year for the Q3 performance, then there was a call for the Q1 performance and now this is for the Q2 performance of FY27 or the H1 FY27. We are pleased to report that strong performance of Q2 and H1 '27 delivered almost 46% year-on-year revenue growth in Q2 of '27 and 76% overall in H1 '27, excluding gold sale, is achieved.
Amit Modak (PNGS Reva Diamond Jewellery Ltd): is there on the website as well as on the BSE site, from where you can get updated all the figures in detail, along with our commentaries. This growth is particularly encouraging given that Q2 of FY '27 had no festival days as compared to FY '26. There were nine last days of the September which were the festival days of the Navratri. Despite these differences in the festive calendar, we continue to witness healthy consumer demand reflecting the resilience of Reva brand and the strength of our business model and more and more shift of the customers from the plain gold jewellery to the studded jewellery and that too the natural diamond studded gold jewellery. Let me bring by sharing the operational highlights. During FY '27, we launched three new CoCo stores. One we launch at the Amanora Mall, Pune at Hadapsar. Another was launched at Nashik, that College Road, and one at Jaipur, which was the first outside Maharashtra for Reva, including our first store outside Maharashtra that is Rajasthan Jaipur City. Further strengthening our retail presence and expanding our reach into new market, our CoCo stores are performing in line with expectations and we remain focused on the expanding of our retail footprint through quality location and delivering the superior customer experience. If we go through rapidly the there are seven six EBOs right now. Just half an hour before one EBO has started working at Bavdhan. So, Wakad was the EBO which was established prior to the IPO, in last September end. Then Paud Road which was in the last week of March. Then Amanora Park, Amanora Mall that is established in the first week of July. Then Nashik was there at the end of the August. Then Jaipur which was started outside Maharashtra. Then Bavdhan which is inaugurated today. And in this week we will announce one more, and that precise announcement will be there on the public domain through the exchange notification. We are proud to onboard Sharvari Wagh as our brand ambassador, brand face marking an important milestone in Reva's growth journey. We all require some national level face, and she is working with the Hindi movies, Hindi serials, and she is known face for the north part of India where we are going to launch our expansion outside Maharashtra. So, Sharvari Wagh will be our brand face which is known in the area wherever we are working. She is being the Marathi. She is getting attached with our brand, our legacy, as well as she is very well known on the pan India basis. We also successfully launched our e-commerce platform, revadiamonds.com, strengthening our digital presence and providing customer with an additional channel to explore our natural diamond jewellery collection. This initiative complements our retail expansion strategy and support our efforts to build a scalable retail and digital platform. Generally, in this kind of industry where pure gold or natural diamond, certified diamond and all these things are getting traded, there is a limited scope for the online sale. But this online platforms or e-commerce platform gives a visibility of our entire product or the catalogue to the customer through which they can understand our product range and they can come to our showroom and shop it. So, even though that online sale is not going to be a sizable one, but it will be a helping us to cater the customers and giving them knowledge about our brand and product range which we are going to cater. These operational initiative were complemented by strong financial performance during the quarter and first half year of the year. There are two comparisons right now. It is a Q2 comparison with previous year Q2, as well as H1 comparison with previous year H1 comparison. There are two figures. Last year there was a some sizable sale of the gold scrap which we received as a exchange gold as a consideration part of the consideration of the sale.
Amit Modak (PNGS Reva Diamond Jewellery Ltd): because right now since we are developing and we are getting newly fabricated jewelry we require that and that's why there is no sizeable gold sale as a B2B sale, which was there in the last year up to Q2 as well as up to last day of the year. During Q2 of FY '27, revenue from operations stood at 121 crore, registering 17% year-on-year growth, while revenue excluding gold sale, as I explained you, that last year there was a larger gold sales, that's why current year's Q2 FY '27 figure shows only 17% growth. But if we compare it as a jewelry to jewelry, then in H1 that jewelry gold sales amounts to 239 crore and shows almost a 76% growth with if we exclude the gold sales from the H1 of FY '26. Gross profit Q2 FY '27 stood at 37 crore, growing 50% year-on-year, only for the Q2, with the gross margin of 31.1% compared to 24.2% in Q2 of FY '26. Again, only for the quarter comparison. Now, if we compare it with the H1 of FY '27 with H1 of FY '26, the gross profit increased by 90% year-on-year to 79 crore with gross margin increasing to 33.2% compared to 26.7% HY H1 of FY '26. Now, EBITDA again quarter, then for the half year. Quarter 1 sorry, quarter 2 stood at 37 crore EBITDA, growing 50% year-on-year and a gross margin of 31.1% compared to 24.2%. H1 gross profit increased 90% year-on-year to 79 crore with gross margin of 33.2% compared to 26.7% of H1 FY '26. EBITDA Q2 FY '27 stood at 29 crore, registering 49% year-on-year growth compared to Q2 of '26 with EBITDA margin of 23.8% compared to 18.7% of the Q2 FY '26. If we compare it in a percentage, it has gone up from 18.7% to 23.8%. If we compare it with the absolute rupee, then our Q2 FY '27 EBITDA is higher by 49%. For H1 FY '27, EBITDA grew at 103% year-on-year to 63 crore with EBITDA margin 26.3% compared to 19.6%. So if we compare absolute rupee term, it is 103% growth. If we compare in a percentage term, last year H1 we were having EBITDA margin of 19.6%, this year it is 26.3%. Now come to the profit after tax. Again first quarterly, then half yearly. Q2 FY '27 stood at 23 crore, registering 84% year-on-year growth compared with the last year Q2. That was then PAT margin of 19.3%. H1 FY '27, which grew by 151% year-on-year to 51 crore with a margin of 21.2%, means margin has gone up from 19.3% to 21.2%. As against, the PAT grown by 151% year-on-year to 51 crore. Even after excluding other income, PAT continues to remain in line with the guidance provided reflecting the strength of the company and its core operating performance. As you would have seen our business update, we have stated that Q3 FY '27 it is started on strong note. Last year, 9 days were in September only, 2 days were in October. This year, entire 10 days of the Navratri plus Dussehra was in Q3 at the early period of the October '27 and we have registered growth of the 35% overall of the 10 days sales. Vis-à-vis Dussehra single day sale, we have in got a higher growth or the higher sale of 62% if we compare with last year's Dussehra. Looking ahead, we remain optimistic about the demand outlook with the upcoming Diwali festival and wedding season
Amit Modak (PNGS Reva Diamond Jewellery Ltd): expected to provide further growth opportunities and support higher average order value. The increasing consumer preference for natural diamond jewelry, coupled with our expanding COCO model retail footprint, enhanced digital presence which can support to our offline sales and focused execution position as well as capitalizing on these all of these opportunities, we are confident that we will show a good result as at the end of the year. Continuing with the H1, the H2 will be in line with the H1, and we expect a good numbers, good figures as at the end of the year. That is a H2 as a whole plus H1 as a whole. With this, now I conclude my say, and I make it open to the investor to ask the question. There are certain limitation that I cannot give you any precise answer, or any precise quantification, or the figures, or the amounts, or the percentage and all these things. So whatever discussion here, it will be in a relative term, and more on the industry outlook as such rather than my specific company's specific location, specific quantification, that kind of the discussion. Thank you. Thank you for listening.
Moderator: Thank you very much, sir. Ladies and gentlemen, we will now begin with the question and answer session. Anyone who wishes to ask questions, may please press star and one on their touch-tone phone. If you wish to withdraw yourself from the question queue, you may press star and two. Participants are requested to use only handsets while asking a question. We will wait for a moment while the question queue assembles. You may please press star and one to ask questions at this time.
Moderator: The first question is from the line of Nishita from Sapphire Capital. Please go ahead.
Nishita (Sapphire Capital): Yeah. Hello. Am I audible?
Amit Modak (PNGS Reva Diamond Jewellery Ltd): Yes, you are, ma'am. Yes, yes.
48 more turns of this transcript: log in to Stocksigma to read the full call.