Shringar House of Mangalsutra Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Shringar House of Mangalsutra Ltd filed with BSE on 30 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Shringar House of Mangalsutra reported Q4 FY26 revenue of Rs 725.6 crore, up 106.5% year-on-year, with full-year FY26 revenue of Rs 2,245.8 crore, up 57.1%. Management highlighted a capacity expansion from 2,500 kgs to 4,000 kgs completed during the quarter and a new entry into bridal jewellery through partnerships with Tanishq and Malabar Gold and Diamonds. Management also discussed rising working capital requirements, the mix of job-work versus outright sales, and gold price and duty movements during the year.
Numbers mentioned
Revenue from operations: INR725.6 crores (Q4 FY26)
p. 4
“Shringar House of Mangalsutra Limited achieved a revenue from operation of INR725.6 crores, an increase of 106.5% on Y-o-Y basis.”
Ritesh Doshi, page 4 of the filed PDF · View the filing
Sales volume: 500 kgs (Q4 FY26)
p. 5
“Sales volume for the fourth quarter stood at 500 kgs, up 16% Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
Gross profit: INR64.5 crores (Q4 FY26)
p. 5
“Gross profit for the quarter stood at INR64.5 crores, an increase of 122.9% on Y-o-Y basis.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
Gross profit margin: 8.9% (Q4 FY26)
p. 5
“Gross profit margin stood at 8.9%, expanded by 65 basis points over year-to-year.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
EBITDA: INR44.7 crores (Q4 FY26)
p. 5
“EBITDA for the quarter stood at INR44.7 crores, an increase of 93.7% Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
EBITDA margin: 6.2% (Q4 FY26)
p. 5
“EBITDA margin were at 6.2%, down by 41 basis points Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
PAT: INR34 crores (Q4 FY26)
p. 5
“The quarter four financial year '26 PAT stood at INR34 crores, an increase of 123.5% Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
PAT margin: 4.7% (Q4 FY26)
p. 5
“PAT margin was at 4.7%, an increase of 36 basis points Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
Revenue from operations: INR2,245.8 crores (FY26)
p. 5
“For the full year, revenue from operation stood at INR2,245.8 crores, marking an increase of 57.1% Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
Gross profit: INR212.1 crores (FY26)
p. 5
“Gross profit stood at INR212.1 crores for the full year '26, an increase of 84.7% Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
Gross profit margin: 9.4% (FY26)
p. 5
“Gross profit margin increased by 141 basis points to 9.4%.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
EBITDA: INR158.7 crores (FY26)
p. 5
“EBITDA was at INR158.7 crores for the financial year '26, an increase of 72% Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
EBITDA margin: 7.1% (FY26)
p. 5
“EBITDA margin was at 7.1%, up by 61 basis points Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
PAT: INR115.5 crores (FY26)
p. 5
“PAT stood at INR115.5 crores, an increase of 89% Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
PAT margin: 5.1% (FY26)
p. 5
“PAT margin was at 5.1%, an increase of 87 basis points Y-o-Y.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
Debt-equity ratio: 0.27 (FY26)
p. 5
“Our debt-equity ratio for financial '26 remained at 0.27.”
Ritesh Doshi, page 5 of the filed PDF · View the filing
Capacity utilization: 87% (FY26)
p. 4
“As a result, the blended capacity for the year stood at 2,625 kgs, leading to an effective capacity utilization of 87% for FY '26.”
Viraj Thadeshwar, page 4 of the filed PDF · View the filing
Job work revenue: INR28 crores (FY26)
p. 7
“Last year we did job work worth INR26 crores and this year we have done job work worth INR28 crores.”
Chetan Thadeshwar, page 7 of the filed PDF · View the filing
Malabar Gold revenue share: 17% (FY26)
p. 6
“I will tell you that 17% of our revenue is from our business with Malabar Gold.”
Chetan Thadeshwar, page 6 of the filed PDF · View the filing
Average inventory cost of gold: 10,500 (FY26)
p. 13
“So our average inventory cost is 10,500 because we are following the weighted average method, aren't we, sir?”
Ritesh Doshi, page 13 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Revenue growth — approximately 30% · next two to three years
stated firmly by Chetan Thadeshwar
p. 4
“We remain committed to our guidance of delivering approximately 30% growth over the next two to three years.”
Chetan Thadeshwar, page 4 of the filed PDF · View the filing
Volume growth — 30% or even 35% · near future
stated conditionally by Chetan Thadeshwar
p. 12
“If gold prices remain steady at current levels, we believe we can further accelerate this 15% volume growth to reach levels of 30% or even 35% in the near future.”
Chetan Thadeshwar, page 12 of the filed PDF · View the filing
Value growth CAGR — 30% range · next two to three years
stated conditionally by Chetan Thadeshwar
p. 13
“Therefore, looking ahead over the next two to three years, our projected CAGR in terms of value is easily achievable within the 30% range.”
Chetan Thadeshwar, page 13 of the filed PDF · View the filing
Mangalsutra sales growth — approximately 33% to 35% · within this year
stated firmly by Chetan Thadeshwar
p. 8
“Within this year, we will increase our mangalsutra sales by one-third, i.e., approximately 33% to 35%.”
Chetan Thadeshwar, page 8 of the filed PDF · View the filing
Bridal jewellery segment size relative to mangalsutra — equivalent to mangalsutra · next two or three years
stated as an aspiration by Chetan Thadeshwar
p. 8
“In the next two or three years, we will parallelly start making bridal jewellery equivalent to mangalsutra, because bridal jewellery accounts for 60% of the entire jewellery industry.”
Chetan Thadeshwar, page 8 of the filed PDF · View the filing
Cash flow turnaround — positive cash flow · approximately two quarters
stated conditionally by Chetan Thadeshwar
p. 15
“Within approximately two quarters, we will have converted a significant portion of our operations.”
Chetan Thadeshwar, page 15 of the filed PDF · View the filing
Bridal segment revenue share — on par with or surpassing Mangalsutra business · next three years
stated as an aspiration by Chetan Thadeshwar
p. 15
“Looking ahead over the next three years, we anticipate the bridal segment growing to be on par with our Mangalsutra business or perhaps even surpassing it.”
Chetan Thadeshwar, page 15 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management attributed the rise mainly to a hedging notional loss, exhibition and advertising spend, new factory setup costs, and higher CSR expenditure.
Answered by Chetan Thadeshwar
Asked by Netra Deshpande: What drove the sharp increase in other expenses in Q4?
p. 7
“Yes, yes. The biggest difference, if any, is the hedging notional loss.”
Chetan Thadeshwar, page 7 of the filed PDF · View the filing
Management said around 30% of production is barter exchange (already hedged), 17% is GML, and 13% is MCX hedged, totalling roughly 60% hedging ratio.
Answered by Chetan Thadeshwar
Asked by Netra Deshpande: Can you bifurcate the hedging exposure across barter, GML, and MCX?
p. 7
“So our production volume is of approximately 3.5 ton per year, out of which 30% is our barter exchange i.e. against gold to gold, i.e. it is already hedged. 17% is GML and 13% is MCX hedged, so approximately 60% is our hedging ratio.”
Chetan Thadeshwar, page 7 of the filed PDF · View the filing
Management said job work was about 30% of the mix (INR28 crores this year) versus 70% outright sales, and explained that outright sales are more profitable because they involve capital investment.
Answered by Chetan Thadeshwar
Asked by Abhishek Budholia: What is the revenue split and margin difference between job work and outright sales?
p. 7
“I told you about the revenue split that approximately 30% is a job work ratio, 70% is our outright sales.”
Chetan Thadeshwar, page 7 of the filed PDF · View the filing
Management said Birla, Reliance and Indriya have already converted to outright purchase and that converting the INR28 crore job-work base to outright could raise related revenue to INR70-80 crores.
Answered by Chetan Thadeshwar
Asked by Abhishek Budholia: Have brands shown positive response to shifting from advance gold/job work to outright purchase?
p. 9
“Definitely, today Birla is converted from job work to outright, Reliance is converted to job work to outright, and Indriya also Birla's that is also converted into outright.”
Chetan Thadeshwar, page 9 of the filed PDF · View the filing
Management explained that at higher gold prices advance gold creates risk for buyers and that redeploying that capital into retail showroom expansion generates better returns for them than providing vendor advances.
Answered by Viraj Thadeshwar
Asked by Sangeeta Purushottam: Why would large buyers like Tanishq switch from advance gold to outright purchase given financing costs?
p. 11
“Even if I were to charge them a premium say, 1% or 1.5% higher the alternative investment is far more lucrative for them.”
Viraj Thadeshwar, page 11 of the filed PDF · View the filing
Management said volume grew about 15% in FY26 despite gold price near-doubling, and expects to accelerate this if prices stabilize.
Answered by Chetan Thadeshwar
Asked by Sangeeta Purushottam: What volume growth is expected for FY27?
p. 12
“This year as well, if I look at it from a production perspective, we are witnessing a volume growth of approximately 15%.”
Chetan Thadeshwar, page 12 of the filed PDF · View the filing
Management said within roughly two quarters they expect substantial progress by converting more clients to outright/organized arrangements with reliable payment cycles.
Answered by Chetan Thadeshwar
Asked by Andrey Purushottam: When is negative cash flow expected to turn positive?
p. 15
“We anticipate achieving substantial progress in this regard within roughly two quarters.”
Chetan Thadeshwar, page 15 of the filed PDF · View the filing
Risks flagged
Notional losses from gold hedging when gold prices rise
p. 7
“Since we hedge gold, it results in a notional loss because if we have hedged the gold at whatever price we have bought it at in MCX, whatever additional payment we have to make due to increase in the price of gold, that actually results in loss.”
Chetan Thadeshwar, page 7 of the filed PDF · View the filing
Working capital cycle risk from dealing with many unorganized clients with erratic payment schedules
p. 12
“Currently, since I work with over 1,300 companies, managing them all is challenging; their payment schedules can be erratic, sometimes early, sometimes late, which can lead to a disruptive churning effect on our cash flow.”
Chetan Thadeshwar, page 12 of the filed PDF · View the filing
Job work model advances limit scalability of top-line growth
p. 11
“Consider this, what is the maximum volume of job work they would typically assign us? Even if they were to provide 100 kg of gold, that amounts to an advance of INR150 crores a figure that represents a distinct limitation.”
Chetan Thadeshwar, page 11 of the filed PDF · View the filing
Extreme gold price volatility during the year
p. 13
“Furthermore, despite the extreme volatility witnessed this year where gold rates fluctuated drastically, nearly doubling within a single year, we still managed to achieve a volume growth of 15%”
Chetan Thadeshwar, page 13 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.