PC Jeweller shares rally up to 6% as MD says firm will be debt-free by March 2026; check details

Delhi-based PC Jeweller has 52 showrooms, of which 49 are company-owned, across major cities of the country.

"We have repaid bank loans worth ₹335 crore during the April-July period of this fiscal year," Garg told PTI.

The net debt has come down to ₹1,445 crore at the end of July from ₹1,780 crore at the beginning of the 2025-26 fiscal year. PC Jeweller is reducing its debt from internal accruals and funds raised from promoters and investors.

"We will become debt-free by the end of this fiscal year," Garg said.

In its investor presentation, PC Jeweller said the company had already reduced its outstanding debt towards banks by more than 50% in 2024-25, as per the settlement agreement with its financial institutions.

"It has further reduced its outstanding debt payable to its banks that stood at the end of the previous fiscal year by another 8.7% during the quarter ended June 30, 2025, and another 10.1% in July 2025," the company said.

For further reduction of bank loans, the company's board last month approved a proposal to raise ₹500 crore equity from promoters and Capital Ventures Pvt Ltd.

Besides this proposed ₹500 crore, PC Jeweller will receive ₹1,300 crore from promoters and investors on conversion of warrants into equity shares. These ₹1,800 crore funds will help the company in clearing all its outstanding debt.

PC Jeweller Q1 FY26 Results

P C Jeweller Ltd on Friday, August 1, reported a 4% increase in its consolidated net profit to ₹161.93 crore for the quarter ended June 2025.

Its net profit stood at ₹156.06 crore in the year-ago period.

Total income surged to ₹807.88 crore during the April-June period of the 2025-26 fiscal year from ₹439.78 crore in the corresponding period of the preceding year, according to a regulatory filing.

Last month, the company's board approved a plan to raise ₹500 crore equity from promoters and Capital Ventures Pvt Ltd to prepay its loan as part of its plan to become debt-free by the end of this fiscal year.

Garg said the jewellery market is gradually becoming organised, helped by the government's hallmarking scheme, which has ensured the quality of the products for consumers.