Sky Gold And Diamonds Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Sky Gold And Diamonds Ltd filed with BSE on 13 Aug 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
Sky Gold & Diamonds reported Q1 FY27 consolidated revenue of INR2,013 crores, up 78% year-on-year, with EBITDA of INR157 crores at a 7.8% margin and operating PAT crossing INR100 crores for the first time. The company generated approximately INR30 crores of positive operating cash flow during the quarter, compared with negative operating cash flows in the prior year. Management also announced the appointment of Akash Talesara as CEO and a shift to a zero-salary promoter compensation model linked to dividends beginning FY27.
Numbers mentioned
Consolidated revenue: INR2,013 crores (Q1 FY27)
p. 7
“our consolidated revenue for Q1 FY27 stood at INR2,013 crores, registering a strong 78% year-on-year growth”
Siddharth Sipani, page 7 of the filed PDF · View the filing
Consolidated gross margin: 9.3% (Q1 FY27)
p. 7
“Our consolidated gross margin increased to 9.3% in Q1 FY27 versus 9.1% in Q4 FY26, an improvement of 27 basis points.”
Siddharth Sipani, page 7 of the filed PDF · View the filing
EBITDA: INR157 crores (Q1 FY27)
p. 8
“EBITDA increased to INR157 crores, to 7.8% for the quarter.”
Siddharth Sipani, page 8 of the filed PDF · View the filing
Operating PAT: crossed INR100 crores (Q1 FY27)
p. 8
“Operating PAT for the quarter crossed the INR100 crores mark for the first time.”
Siddharth Sipani, page 8 of the filed PDF · View the filing
Operating cash flow: approximately INR30 crores (Q1 FY27)
p. 8
“Our cash flows from operations turned positive at close to INR30 crores in Q1 FY27 compared to negative operating cash flows till the end of '26.”
Siddharth Sipani, page 8 of the filed PDF · View the filing
Advance Gold sales share: 17% (Q1 FY27)
p. 4
“I am pleased to share that we have achieved 17% sales on the Advance Gold model, significantly ahead of our expectation of 15% of the Advance Gold model for FY27.”
Mangesh Chauhan, page 4 of the filed PDF · View the filing
Net working capital cycle: approximately 60 days (Q1 FY27)
p. 5
“As a result, we are closing this quarter at approximately 60 days of our net working capital cycle.”
Mangesh Chauhan, page 5 of the filed PDF · View the filing
Natural diamonds contribution: approximately 2% (Q1 FY27)
p. 5
“Further, natural diamonds currently contribute approximately 2% of our overall business, presenting significant headroom for future growth.”
Mangesh Chauhan, page 5 of the filed PDF · View the filing
Non-22 KT jewelry share: 14% (Q1 FY27)
p. 7
“the share of non-22 KT jewelry has increased from 10.5%in Q4FY26 to 14% in Q1 FY27 due to structural shift in customer preference towards lower Karatage jewelry”
Siddharth Sipani, page 7 of the filed PDF · View the filing
Studded jewelry share: 2.1% (Q1 FY27)
p. 8
“The share of studded 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, page 8 of the filed PDF · View the filing
Net debt: INR540 crores (Q1 FY27)
p. 11
“Net debt level for this quarter is INR540 crores.”
Siddharth Sipani, page 11 of the filed PDF · View the filing
Volume growth: 7% to 9% (Q1 FY27)
p. 12
“overall, I can say that we have grown by 7% to 9% in the volumes in this quarter”
Siddharth Sipani, page 12 of the filed PDF · View the filing
Capacity utilization: close to 60% (Q1 FY27)
p. 13
“So, 1.2 tons is our capacity to produce, and we are 60% approx utilization in the last quarter.”
Mangesh Chauhan, page 13 of the filed PDF · View the filing
Amount involved in disclosed incident: INR10.7 crores
p. 14
“So, out of that, INR10.7 crores was the total amount involved, but such incidents have unfortunately become increasingly prevalent across many organizations which are listed on the BSE and NSE.”
Siddharth Sipani, page 14 of the filed PDF · View the filing
Amount recovered from incident: INR3.5 crores
p. 14
“And close to INR3.5 crores has already come back.”
Siddharth Sipani, page 14 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.
FY27 revenue — INR8,100 crores · FY27
stated firmly by Mangesh Chauhan
p. 4
“Our current FY27 revenue target of INR8,100 crores is meaningfully higher than the outlook we had communicated 9 months ago.”
Mangesh Chauhan, page 4 of the filed PDF · View the filing
FY30 revenue — INR18,000 crores to INR19,000 crores · FY30
stated firmly by Mangesh Chauhan
p. 5
“We remain firmly on track to achieve our aspiration of INR8,100 crores by FY27 and INR18,000 crores to INR19,000 crores by FY30.”
Mangesh Chauhan, page 5 of the filed PDF · View the filing
Revenue guidance revision — post Diwali
stated conditionally by Mangesh Chauhan
p. 9
“So, we will revise our target after Diwali. We'll analyze one more quarter, and we will give our new guidance post Diwali. That's our plan.”
Mangesh Chauhan, page 9 of the filed PDF · View the filing
Gross margin guidance — 8.5% to 9%
stated firmly by Mangesh Chauhan
p. 15
“The guidance of 8.5% to 9% gross margin we are giving, because, in the journey of business, you can see if 22 karat is somebody is taking volume, we have to pass on some 0.25% to 0.5% discount also to the customers.”
Mangesh Chauhan, page 15 of the filed PDF · View the filing
PAT margin guidance — 5.25%
stated firmly by Siddharth Sipani
p. 16
“from the overall guidance to the Street, 5.25% of the PAT margin still holds, while we plan and aimed at how we can reach the magical number of INR1,000 crores of PAT going forward”
Siddharth Sipani, page 16 of the filed PDF · View the filing
Capex for new facility — INR80 crores to INR100 crores · after 2028
stated conditionally by Siddharth Sipani
p. 10
“It will be close to INR80 crores to INR100 crores, which will be just 20% to 25% of the PAT that we will generate at that point of time”
Siddharth Sipani, page 10 of the filed PDF · View the filing
Working capital days — 52 days · by 2030
stated as an aspiration by Siddharth Sipani
p. 10
“we are looking at reducing or improving on the working capital days by 2 days year-on-year, with an overall target to reach 52 days by 2030 in the Sky Gold Vision 2030 that we are looking at”
Siddharth Sipani, page 10 of the filed PDF · View the filing
Export share — 20%
stated as an aspiration by Mangesh Chauhan
p. 11
“So, we are expecting good sales export as we have guided that we will go to 20% exports in coming years.”
Mangesh Chauhan, page 11 of the filed PDF · View the filing
Advance Gold business share — 30% · 2030
stated as an aspiration by Mangesh Chauhan
p. 11
“In 2030, we will achieve 30% of the Advance Gold business, which we have given him set the target.”
Mangesh Chauhan, page 11 of the filed PDF · View the filing
Advance Gold business share — 15% this year, 20% next year, 25% third year
stated as an aspiration by Mangesh Chauhan
p. 11
“We have achieved 18% Advance Gold business, and we have given him the target for this year to be average of 15%, next year 20%, and the third year of 25%.”
Mangesh Chauhan, page 11 of the filed PDF · View the filing
Sales growth rate — 30% to 35%
stated conditionally by Siddharth Sipani
p. 12
“Considering these, and my ROCE is close to 35%- 36%, we expect that we will go to 30% to 35% in terms of the sales increase.”
Siddharth Sipani, page 12 of the filed PDF · View the filing
Operating cash flow to PAT conversion — close to 20%
stated as an aspiration by Siddharth Sipani
p. 12
“our plan is that, overall, we are now targeting to have operating cash flow to PAT conversion of close to 20%, that we have also provided in our IP as well”
Siddharth Sipani, page 12 of the filed PDF · View the filing
Capacity utilization increase — 7% to 8% Q-on-Q
stated as an aspiration by Siddharth Sipani
p. 13
“we expect that the capacity utilization should improve by 7% to 8% Q-on-Q every time”
Siddharth Sipani, page 13 of the filed PDF · View the filing
UK/Europe export share — 3% to 5%
stated as an aspiration by Mangesh Chauhan
p. 11
“So, we have now tell him to focus on diversifying our export business, and have given him a target of 3% to 5% from the U.K. market.”
Mangesh Chauhan, page 11 of the filed PDF · View the filing
Sector organized share — 75% organized, 25% unorganized · 2030
stated as an aspiration by Mangesh Chauhan
p. 17
“So as per exports, we are expecting by 2030, 75% market will be organized and 25% will be unorganized.”
Mangesh Chauhan, page 17 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 said they would wait until after Diwali and one more quarter before revising guidance.
Answered by Mangesh Chauhan
Asked by Deep Shah: Given Q1 run-rate is already close to the FY27 guidance, will the company raise its revenue guidance now?
p. 9
“So, we will revise our target after Diwali. We'll analyze one more quarter, and we will give our new guidance post Diwali. That's our plan.”
Mangesh Chauhan, page 9 of the filed PDF · View the filing
Management explained the increase reflects deploying gold-business cash flows into the higher-margin, higher-working-capital studded business alongside rising exports.
Answered by Siddharth Sipani
Asked by Deep Shah: Why have inventory/working capital days increased sequentially?
p. 9
“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”
Siddharth Sipani, page 9 of the filed PDF · View the filing
Management said the diamond segment's credit terms drive the payables and that this is a sustainable, structural feature of the business mix.
Answered by Siddharth Sipani
Asked by Palash Kawale: Is the rise in payable days sustainable?
p. 10
“since we are looking at increasing our higher-margin products. So, in gold, the credit available is virtually nil, while in the diamond segment, 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 is a sustainable number.”
Siddharth Sipani, page 10 of the filed PDF · View the filing
Management described early traction from a UK exhibition and an initial order, with plans to diversify export markets further.
Answered by Mangesh Chauhan
Asked by Palash Kawale: What is the potential from the UK market?
p. 10
“we have done the first exhibition, and we have got a first initial order of 25 to 30 kg”
Mangesh Chauhan, page 10 of the filed PDF · View the filing
Management confirmed the amount involved and recovery progress but declined further comment as the matter is under legal process.
Answered by Siddharth Sipani
Asked by Chintan: Did the previously disclosed fraud/incident have any P&L impact expected in Q2?
p. 14
“as of the matter is currently under legal and investigative process, we will not comment specifically on this matter”
Siddharth Sipani, page 14 of the filed PDF · View the filing
Management said volume-specific karat guidance would no longer be provided, but overall volumes grew 7-9% this quarter.
Answered by Siddharth Sipani
Asked by Netra Deshpande: Can management share tonnage/volume growth separately from value?
p. 12
“we have grown by 7% to 9% in the volumes in this quarter”
Siddharth Sipani, page 12 of the filed PDF · View the filing
Management said the 5-year guidance was set conservatively and they continue working to improve margins beyond the stated guidance.
Answered by Siddharth Sipani
Asked by Yashowardhan Agarwal: Given rising Advance Gold and studded mix, why is the PAT margin guidance kept at 5.25% rather than raised?
p. 16
“5.25% of the PAT margin still holds, while we plan and aimed at how we can reach the magical number of INR1,000 crores of PAT going forward”
Siddharth Sipani, page 16 of the filed PDF · View the filing
Management said there is no acquisition currently planned and the target relies on utilizing existing facilities.
Answered by Mangesh Chauhan
Asked by Sagar Jethwani: Is the INR19,000 crore FY30 revenue target inclusive of any acquisitions?
p. 18
“there is no such anything on the table for acquisition”
Mangesh Chauhan, page 18 of the filed PDF · View the filing
Management clarified the Advance Gold business revenue is excluded from the INR18,000 crore target because it does not flow fully into revenue.
Answered by Mangesh Chauhan
Asked by Sagar Jethwani: Is the growing Advance Gold share (which books only making charges as revenue) a reason the revenue target hasn't been raised?
p. 18
“we have not added that Advance Gold business revenue in that INR18,000 crores mark”
Mangesh Chauhan, page 18 of the filed PDF · View the filing
Risks flagged
Heightened gold price volatility creating margin pressure across the industry
p. 5
“In recent quarters, heightened volatility in gold prices has created margin pressures across various retailers and manufacturers within the jewelry industry.”
Mangesh Chauhan, page 5 of the filed PDF · View the filing
Fraud/misappropriation incident involving INR10.7 crores under legal process
p. 14
“out of that, INR10.7 crores was the total amount involved, but such incidents have unfortunately become increasingly prevalent across many organizations which are listed on the BSE and NSE”
Siddharth Sipani, page 14 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.