PC Jeweller Share Price Jumps 4% After 10th Bank Debt Clearance; Stock Up 38% in a Week
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PC Jeweller has now settled its dues with 10 of 14 consortium lenders, while more than 96% of the debt owed to the remaining four banks has also been cleared.
PC Jeweller shares rebounded 4% to Rs 14.08 in Wednesday’s morning trade after the company said it had cleared outstanding dues with another lender, taking the number of consortium banks to which it has fully repaid its debt to 10 out of 14. The gains came a day after profit booking on Tuesday snapped a three-session winning streak, with the stock now up around 38% over the past week. PC Jeweller shares have gained more than 40% over the past month and around 50% so far in 2026.
The latest move follows the company’s announcement last week that it was on track to become debt-free by the end of September. In its exchange filing on Tuesday, PC Jeweller said it had repaid the entire outstanding amount owed to 10 of its 14 consortium lenders, with each repayment completed ahead of the scheduled due dates. For the remaining four banks, more than 96% of the outstanding debt has already been cleared, leaving less than 4% to be repaid by the end of the month. The company said completing the process would materially strengthen its balance sheet and overall financial position.
PC Jeweller clears debt with 10 of 14 banks
The debt resolution stems from a one-time settlement agreement signed in September 2024 between PC Jeweller and a consortium of 14 banks led by State Bank of India. The agreement was aimed at resolving the jeweller’s stressed loan book, which stood at nearly Rs 4,100 crore as of March 2024. The consortium included Union Bank, Punjab National Bank, Axis Bank, IndusInd Bank, Bank of India, IDBI Bank, Karur Vysya Bank, Kotak Mahindra Bank, Indian Overseas Bank, Canara Bank, Indian Bank and Bank of Baroda, among others.
PC Jeweller has been steadily reducing its obligations under the settlement, with the latest repayment bringing it closer to its stated debt-free target. The company now needs to clear the remaining balance with four lenders, which accounts for less than 4% of the outstanding amount, to complete the process by September-end.
PC Jeweller Q1 profit rises 37%
The balance sheet improvement has coincided with stronger operating performance. PC Jeweller reported a consolidated net profit of Rs 222 crore in Q1 FY27, up 37% from Rs 153 crore in the year-ago quarter, while revenue from operations increased 21% year-on-year to Rs 877 crore from Rs 725 crore.
The improvement was sharper on the operating side, with consolidated operating PAT, excluding other income, rising to Rs 213 crore from Rs 79 crore in Q1 FY26. That represents a 168% year-on-year increase and points to a substantial improvement in the company’s core operating performance.
The combination of debt reduction and stronger earnings has supported the sharp rise in PC Jeweller shares this year. The stock has gained nearly 400% over the past three years and around 430% over five years, making the debt-free target and the sustainability of the earnings improvement important factors for the stock after its strong recent run.
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This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, Visit www.kotakneo.com/disclaimer
Rochelle Britto has spent 8+ years decoding India's markets, businesses, and consumer economy, reporting for ET Prime and Times Internet along the way, covering the stories behind the numbers.
A Mumbai native and perpetual planner of the next holiday, she stays far, far away from the eternal question, “Where are we going next?” When she's not chasing headlines, she's chasing new cultures, open roads, and a bit of quiet in nature.
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