Deepa Jewellers delivered robust financial performance in the June 2026 quarter, with net profit rising 27.01% to ₹26.8 crore compared to ₹21.07 crore in the corresponding quarter of the previous year. According to reports from Investing.com India, this significant profit growth demonstrates the company's strong operational performance during the quarter, despite facing some margin pressure as the business expands.
The company's sales revenue surged 39.04% to ₹431.11 crore in Q1 FY2026, up from ₹310.06 crore in the same quarter of the previous fiscal year. As reported by Investing.com India, this substantial revenue growth reflects continued demand across its jewellery portfolio and an expanding customer base. The strong top-line growth demonstrates the effectiveness of Deepa Jewellers' business expansion strategies in the competitive jewellery retail market.
The company's operating performance remained healthy with EBITDA increasing 33.9% YoY to ₹38.7 crore, translating into an EBITDA margin of 8.98%. According to Investing.com India, the company's PAT grew 27% YoY to ₹26.8 crore, despite higher depreciation and finance costs. The net profit margin stood at approximately 6.26%, compared with 6.77% in Q1 FY26, indicating some pressure on profitability as the business expands. However, the sequential trend shows improvement, with operating margins recovering to around 9% in June 2026 after declining to approximately 7% in March 2026.
A central part of Deepa Jewellers' growth strategy is its focus on in-house manufacturing through its Hyderabad facility, which provides greater control over product quality, design development and delivery timelines. The company continues to strengthen its manufacturing capabilities, with higher utilisation of internal capacity expected to support operating efficiencies. Deepa Jewellers has built a particularly strong presence across Southern India, with Telangana accounting for approximately 41.6% of the business, followed by Tamil Nadu at 23.5% and Andhra Pradesh at 19.3%. The company is further strengthening its presence in Andhra Pradesh through a new sales office in Vijayawada.
The strong quarterly results reflect Deepa Jewellers' continued growth trajectory in the competitive jewellery retail market. As reported by Investing.com India, approximately 76.1% of the company's distribution comes through retail chains, while standalone stores contribute around 23.9%. The margin recovery during the June quarter is encouraging, though profitability remains the key variable to monitor. If Deepa Jewellers can sustain strong revenue growth while stabilising margins and managing working-capital requirements effectively, earnings growth could become increasingly important to the investment case.