PN Gadgil Jewellers has launched its Qualified Institutional Placement (QIP) issue with a floor price of ₹640.69 per equity share, according to an exchange filing. The company may offer up to 5% discount to eligible institutional investors on the floor price, subject to regulatory approvals and board decision. The QIP aims to raise capital from qualified institutional buyers through equity share issuance, with the floor price determined in accordance with SEBI regulations. If the full 5% discount is offered, the issue price could be set below the notified floor price based on investor demand and final terms.
PN Gadgil Jewellers delivered robust financial results in the first quarter of FY27, with consolidated revenue growing 40.7% year-on-year to ₹2,413 crore from ₹1,715 crore in the previous year. The company's net profit surged 52% to ₹105 crore compared to ₹69.3 crore in the year-ago period. EBITDA increased 65.8% to ₹182 crore from ₹110 crore, with margins expanding to 7.6% compared to 6.4% in the preceding fiscal year. The retail segment demonstrated exceptional performance with revenue growing 56% YoY and same-store sales growth of 46%.
The company's operational performance showed strong customer engagement with customer footfalls rising 26% during the quarter. According to Motilal Oswal's report, the company maintained a healthy 92% conversion rate, indicating effective customer acquisition and retention strategies. The company's wedding demand strategy was adjusted to focus on the second and third quarters due to adhik mass timing considerations.
PN Gadgil Jewellers has increased its hedge coverage to approximately 70% and is targeting 80%+ coverage in the near term and around 100% over time. As reported by Motilal Oswal, this strategic approach to risk management supports the company's growth trajectory and provides protection against market volatility. The brokerage's positive outlook is based on ongoing strategic initiatives and the company's long-term growth visibility in the jewellery retail sector.
PN Gadgil Jewellers shares closed 0.60% lower at ₹666.15 per share on Thursday following the QIP announcement. The shares have risen 1.64% in one week but fallen 23.35% in one month. On a year-to-date basis, shares have gained 9.35%, while over one year, they have declined 12.62%. The results were announced after market close, with the company maintaining its buy rating from Motilal Oswal with a target price of ₹825.
