Strong Q1 masks FY27 revenue drag from planned exits

Total revenue ₹780.4 Cr (47.2% YoY), implies ~₹90 Cr bullion; ex-bullion ₹690 Cr is 30% YoY growth

Delivered PAT ₹25.6 Cr vs ₹6.6 Cr Q1 FY26 = 288% growth

₹89 Cr vs ₹69 Cr prior year = 29% YoY growth

220 days vs 253 days in Q1 FY26 = 33-day improvement

Los Angeles inherited at acquisition, New York (opened Nov) profitable Jan onwards, SF (opened July) expected profitable month 2-3. Limited data set (3 stores) but early proof point supports claim

Prior: vague 'double-digits margins over 2-3 years'. Now: ₹1,000 Cr D2C with 15% OPM by FY29 (from ₹500 Cr base), includes ₹375 Cr owned + ₹125 Cr licensed. Same strategy, quantified milestones.

Initial 38% investment exercised option to 65%. Revenues recognized in full; minority interest passed through P&L. Store expansion plan: 7 by FY27, 13 by FY28. Each store ₹25-35 Cr sales, <1Y payback.

Exited NFL, Netflix, Harry Potter licenses; focus on Disney only. Margins fell 15.5% → 10.9% in Q1 due to exit costs. Expect recovery to 14-15% as Disney grows, but near-term weakness confirmed.

Exiting ₹300-400 Cr annualized revenue in customer brands (high working capital, low margin). Profitability to grow >30% despite revenue reduction. Working capital days improved 33 days in Q1; expects full ₹250 Cr benefit by FY27 end.

Strong revenue and bottom-line momentum expected to continue through FY27. Revenue growth may be muted due to business exits, but bottom line equal to or greater than current momentum.

Applying for refund, will share benefits with customers. Exact tariff amounts and refund estimates not ready; details expected in coming quarters.

Inventory reduction + receivables focus. Exiting customers where cost of capital > EBITDA (low-quality business). ₹300-400 Cr revenue reduction annualized; no bottom-line impact expected. Benefits realized by FY27 end.

Rationalized portfolio, exiting unprofitable licenses. Focus on Disney (encompasses Star Wars, Marvel). Exit costs already taken. Expect recovery to 14-15% as Disney grows; process of elimination of non-core licenses.

Focusing on 2 major brands: Jean Dousset and WithClarity (bulk of revenue). Still own Jewelili and Everyday Elegance but smaller. Hallmark is licensed (exited). Renaei minimal. 3 power brands: Jean Dousset, WithClarity, Disney.

FY26 grew ~30%. Each store expected to generate ₹25-35 Cr sales. Currently 3 operational stores (LA, NY, SF). 4 more expected FY27 (total 7). Store ramp drives revenue increase + e-commerce via brand awareness.

Now 65% (exercised option). Consolidated in full as controlled subsidiary; minority interest passed through P&L. ₹25-35 Cr sales per store (full store, not RGL's share). Limited data set but strong momentum.

Yes. Bullion sales will continue (tariff mitigation via US/ME subcontracting). Core margins have dipped slightly due to exit costs from strategic business decisions. Year-over-year EBITDA margin 7.7% → 7.2%, attributed to strategic exits.

Degrowth should start Q2, taper Q3-Q4 sequentially. Revenue run rate ₹400 Cr lower by FY27 end. Difficult to time exactly due to consignment inventory sell-down.

Strong momentum post-opening. NY store (opened Nov) profitable Jan onwards. SF (opened July) expected profitable month 2-3. Payback <1 year based on unit economics. FY28 plan: add 6 more stores (13 total by end FY28).

Actively evaluating acquisitions. No specific deals to report yet. Given ₹300+ Cr operating cash flow expected, have financial flexibility. Open to acquisitions; announcements TBA.

₹250 Cr from working capital reduction (inventory + receivables). Rest from improved bottom line and operational efficiency. Decisions on customer exits already set in motion.

Will realize WC benefits through FY27. Difficult to pinpoint exact quarterly conversion. Expect structural improvement in operating cash flow sequentially. End year with meaningfully lower net debt vs 1 year ago.

Revenue run rate ₹220 Cr, growing ~20%. Margin 11-13% in line with segment average. Both JD and WC enjoy 60-65% gross margins. Profitability expected to scale with operating leverage as fixed overhead absorbed.

Due to rupee appreciation. Hedged on rupee expenditures; WC is dollar-denominated (natural hedge). Accounting impact on revenue and expense sides. Expect meaningful reduction if currency stabilizes.

Other income is normal course of business, no exceptions. No inventory loss from metal price changes; hedged on long-term customer commitments. Slight margin dip from WC reduction exit costs, not metal prices.

FY28 plan: add 6 more stores (13 total by end). Initial investment ₹6.5 million. Option to increase stake exists if Jean Dousset needs more capital; not discussed at Board yet; depends on fund utilization.

Yes. Current D2C ~₹500 Cr (₹375 Cr owned brands + ₹125 Cr licensed). Licensed business has B2B and B2C angles. Target ₹1,000 Cr D2C (both owned and licensed combined) by FY29.

Primarily fine jewellery (diamonds, lab diamonds, gemstones, silver). 3-tiered owned brands: licensed USD400 AOV, WithClarity USD3,000, Jean Dousset USD8,000. OEM customer brands span USD50-3,000. No shift in customer segments; white space creation for customers.

Customer brand degrowth to start Q2, taper Q3-Q4. Revenue run rate ₹400 Cr lower by FY27 end. Sequentially declining but not front-loaded.

From current ₹500 Cr base (₹375 owned + ₹125 licensed). Jean Dousset 7 stores by FY27 (₹25-35 Cr each), 13 by FY28. WithClarity ₹220 Cr run rate, 20% growth. Disney growth recovery.

Currently 7.2% (down from 7.7%) due to forex (₹13 Cr) and exit costs. Expects minor dip during FY27, but recovery as WC benefits realized and owned brand mix improves.

Currently 11.5% owned brands. Both JD and WC enjoy 60-65% gross margins; profitability expected to scale with operating leverage. Licensed brands expected 14-15% (from 10.9%).

Each store ₹25-35 Cr sales, <1 year payback based on unit economics. Initial investment ₹6.5 million; future capex to depend on retained earnings and Board approval for higher stake.

₹13 Cr forex loss in Q1 from rupee appreciation. Working capital is dollar-denominated (natural hedge in economic terms), but P&L impact hits consolidated metrics. Further rupee strength could extend losses.

US tariff environment impacts margins. Company applying for refunds on prior tariffs but refund amounts and timing uncertain. May have to share benefits with customers, reducing upside.

Jean Dousset store expansion plan (3→7 by FY27, →13 by FY28) relies on unit economics extrapolated from 3 stores with limited history (LA acquired, NY opened Nov, SF opened July). Breakeven month 2-3 and <1Y payback may not hold at scale.

Licensed brands margins collapsed from 15.5% (FY24) → 13% (FY26) → 10.9% (Q1 FY27). Portfolio rationalization (exited NFL, Netflix, Harry Potter; focusing on Disney) is strategic but recovery to 14-15% is unproven. Disney-only focus creates concentration risk.

Exiting certain customer brands to improve WC and profitability. While this is strategic, it raises questions about customer concentration in remaining B2B portfolio and relationship stability.