PC Jeweller Ltd. announced on Friday that it has successfully reduced its outstanding bank debt by approximately 10% as part of its ongoing debt reduction plan. According to the company's exchange filing on April 17, this latest reduction is in line with the terms of its joint settlement agreement with a group of lenders. With the latest progress, the jewellery brand has now repaid and discharged more than 90% of its outstanding bank debt since the execution of the settlement agreement. This move aligns with the company's strategic objective of attaining a debt-free status, marking a significant milestone in its efforts to enhance financial stability. The company's leadership, including Executive Director (Finance) and CFO Vishan Deo, has emphasized a clear priority: rapid debt reduction, with management channeling available resources toward repayments to reflect a disciplined financial strategy.
The company reported strong financial results for the fourth quarter of fiscal year 2026, with standalone revenue growing 32% annually. For the full fiscal year 2026, PC Jeweller achieved revenue growth of around 49% year-on-year, supported by steady performance across quarters. During the quarter, the company further reduced its outstanding debt of banks by about 23% under the terms of the Joint Settlement Agreement. The pace of repayment suggests that the remaining debt burden is relatively small, putting the company close to achieving its stated goal of becoming debt-free. This achievement could open up new growth opportunities, improve creditworthiness, and support future expansion plans without heavy reliance on external borrowing.
On April 6, PC Jeweller announced that its subsidiary has incorporated PCJ Mining SARL in the Republic of Chad to undertake the extraction of precious metal ores. According to the exchange filing, this strategic initiative provides the Group with an opportunity to explore mining operations and possibly establish vertical integration across its value chain. Additionally, the company executed a Memorandum of Understanding with National Skill Development Corporation to act as an industry/franchise partner for the gems and jewellery sector, aiming to facilitate the development and onboarding of up to 2 lakh micro entrepreneurs across India over 5 years.
Shares of PC Jeweller ended 0.63% higher at ₹9.59 on Friday, according to National Stock Exchange data. The penny stock has demonstrated strong momentum with a surge of over 7% in the past five sessions and a gain of 12.5% over the past month. However, the stock has been under pressure over the last one year, declining nearly 30% in value. Despite recent gains, the stock has declined nearly 21% over the past six months and is up only 3.12% on a year-to-date basis. The ongoing debt reduction aligns with the company's broader strategic goal of restoring financial health and operational resilience, which could support future investor confidence and market performance.
