Sky Gold And Diamonds Ltd

Meeting Details

• Date: Tuesday, 25 August 2026; in-person meeting in Mumbai.
• Type and mode: group in-person investor meeting.
• Organizer: Sky Gold and Diamonds Limited management.
• Key participants: Managing Director.
• Purpose: investor interaction with the company.
• Location: Mumbai.

Additional Notes

• Schedule may change due to exigencies.
• No UPSI is proposed to be shared.

Key developments

• Sky Gold & Diamonds added to the MSCI India Domestic Small Cap Index.
• Current quarter operating cash flow turned positive.
• Governance framework strengthened with engagement of a global accounting firm.
• Asset-light manufacturing to scale capacity while maintaining capital efficiency.
• Focus on lightweight, design-led jewellery and expanding organised retail footprint.
• Sky Gold 3.0 framework to drive next growth phase and deeper customer relationships.

Outlook and governance

• Management aims for sustainable, profitable growth and cash conversion.
• Plans to deploy capital efficiently and strengthen control systems to scale.

Financial Performance

• Q1 FY27 consolidated revenue: INR 2,013 crores, up 78% YoY
• Annualized revenue run-rate: ~INR 8,050 crores; close to FY27 guidance of INR 8,100 crores
• Gross margin: 9.3% in Q1 FY27 vs 9.1% in Q4 FY26
• EBITDA: INR 157 crores; margin 7.8%
• Operating PAT: crossed INR 100 crores in Q1 FY27
• Cash flow from operations: +INR 30 crores; net working capital cycle ~60 days

Operating Update

• Advance Gold mix rising; non-22 KT jewelry share 14%; studded jewelry 2.1%
• Export mix improving; exports ~18% of revenue in Q1 FY27; UK/Europe pipeline INR 30–45 crores
• Advance Gold contribution ~90–100 bps to gross margin; 17% of revenue in Q1
• New CEO onboarding focus: expand Advance Gold and large customers; export diversification

Balance Sheet & Cash Flow

• Net debt: INR 540 crores at quarter-end
• Net working capital cycle: ~60 days; improved cash generation supports deleveraging
• International revenue diversification expanding; ongoing governance enhancements

Projects & Capex

• Capacity 1.2 tons; utilization ~60%; plan to reach 2.4 tons
• Leased capacity; potential new facility post-2028; capex not expected to be large
• Lead time to scale: ~120 days to set up new capacity; capex ~INR 80–100 crores

Outlook & Guidance

• FY27 revenue target: INR 8,100 crores; to be revised after Diwali
• Gross margin guidance: 8.5%–9%
• PAT margin guidance: ~5.25%
• Advance Gold targets: 15% this year, 20% next year, 25% third year, 30% by 2030
• Export share target: 20% of revenue in coming years
• Vision 2030: net debt-free and ERP upgrades across operations

Q&A Highlights

• Diwali-guidance review: new target to be considered after one more quarter
• Inventory days rose to ~60; sustainable with higher-margin Advance Gold and export mix
• Volume growth: Q1 volumes up 7–9%; tonnage not disclosed; blended utilization ~60%
• UK market: first orders from London expo; pipeline supports growth in Europe
• Advance Gold share held at ~17% in Q1; 18% in Q4; expansion guidance unchanged

Risks & Watchpoints

• P&L impact of recent incident disclosed as INR 10.7 crores; further clarity awaited

Meeting Details

• Dates and times: Aug 11, 2026 11:00–16:50 SGT; Aug 12, 2026 09:00–16:00 SGT.
• Type and mode: group of investors, in-person.
• Event: Investors/Analysts Meeting.

Participants

• Key participants: Management (MD).

Purpose

• Purpose: investor interaction with management.

Meeting Details

• Date of call: 10 August 2026; time not disclosed.
• Event: Earnings Conference Call for Q1 FY27; organizer: Sky Gold and Diamonds Limited.
• Purpose: discuss unaudited standalone and consolidated results for quarter ended 30 June 2026.
• Key participant: Managing Director.
• Recording: Audio recording available on the company website.
• Transcript: will be intimated to exchanges and published on the website.

Meeting Details

• Date: 14 August 2026; Time: not specified.
• Mode: In-person; Location: Mumbai.
• Organizer: Sky Gold and Diamonds Limited.

Participants

• Key participants: Company management (MD) to interact with investors.

Purpose

• Purpose: Interacting with investors.

Business Overview

• Core business: lightweight gold and diamond jewellery for B2B retailers.
• Exports focus with London expo; initial UK/Europe orders ₹30–45 cr.
• Advance Gold model reduces working capital; target ~30% volumes by FY30.
• Vision 2030 Sky Gold 3.0 prioritizes cash generation and governance.

Financial Performance

• Q1 FY27 revenue ₹2,012.8 cr; YoY +77.9%.
• Q1 FY27 EBITDA ₹156.7 cr; margin 7.8%.
• Q1 FY27 PAT ₹104.9 cr; margin 5.2%.
• FY26 revenue ₹6,294.9 cr; EBITDA ₹434.3 cr; PAT ₹281.8 cr.
• FY27 guidance: revenue ₹8,100 cr; EBITDA margin 7.0–7.5%; PAT margin 4.5–4.75%.

Operational Highlights

• Appointed Akash Talesara as CEO.
• Showcased at Asiana UK-India Expo, London; initial orders ₹30–45 cr.
• Value-added share rose to 50–55% in FY26, driving margin expansion.
• Advance Gold volumes ~30% by FY30; zero working capital inventory.
• Manufacturing footprint expanded to 135,000 sq ft; Dubai office opened; MSKA appointed.

Capital Structure & Liquidity

• Total equity as of 31-Mar-26: ₹1,205.9 cr; share capital ₹154.9 cr.
• Total assets ₹2,195.2 cr; current assets ₹1,636.1 cr.
• Total borrowings ₹847.9 cr (non-current ₹48.1 cr; current ₹799.8 cr).
• Cash and cash equivalents ₹7.9 cr; net current assets ~₹712.5 cr.
• Operating cash flow FY26: ₹44.9 cr negative; financing cash flow ₹171.0 cr.

Strategic Priorities & Outlook

• FY30 guidance: revenue ₹18,000–₹19,000 cr; PAT margin ~5.25%+; ROCE 27%+.
• Growth drivers: higher export mix, value-added jewellery, and advanced gold adoption.
• FY27 guidance revised upwards; focus on margin expansion and capital efficiency.
• Dubai expansion and new geographies to broaden export footprint.

Governance & Leadership

• Promoters adopt dividend-only compensation; no salaries from FY27.
• MSKA & Associates LLP appointed as Statutory Auditors.
• Onboarded BDO for enhanced financial reporting and governance.
• Board strengthened with industry veterans; leadership hires across domains.
• CEO appointment: Akash Talesara; background in gems and jewellery.

Financial highlights

• Consolidated Q1 FY27 revenue ₹2,012.8 crore; up 77.9% YoY.
• Consolidated EBITDA ₹156.7 crore; EBITDA margin 7.8%.
• Reported PAT ₹104.9 crore; PAT margin 5.2%.
• Operational PBT ₹134.8 crore; margin 6.7%.
• FY26 revenue ₹6,294.9 crore; YoY growth 77.4%.

Strategic and operational developments

• Akash Talesara appointed Chief Executive Officer.
• ESOPs to eligible employees to strengthen retention.
• International exposure: order book of ₹30-45 crore from UK/Europe.
• Strategic focus on lightweight and diamond-studded jewellery.

Outlook and capital efficiency

• Asset-light manufacturing and advance-gold model improving capital efficiency and cash flow.
• FY27 revenue target: ₹8,100+ crore.
• Exhibitions and international expansion supporting export momentum; Asiana UK-India Expo generated interest.

ESOP grant details

• NRC approved grant of 5,508 SKY Gold - ESOP 2024 options to eligible employees.
• Each option converts into one equity share of Rs 10 face value.
• Exercise price is Rs 10 per option; vesting after one year.
• Vesting commences after a minimum one-year period from grant; lock-in not applicable.
• Total options granted: 5,508; administered by Nomination and Remuneration Committee.