Senco Gold Shares Jump 11% After Q2 Business Update As Revenue Grows 31%

Shares of jewellery retailer Senco Gold jumped as much as 11% in early trade on Thursday, October 8, as investors reacted to the company's Q2 FY27 business update released a day earlier. Shares were trading 9.67% higher at ₹351.60 as of 9:41 am on the NSE, up ₹31 from the previous close.

The stock rallied after Senco Gold reported 31% year-on-year growth in total revenue during the September quarter, while retail revenue increased 29%. Same-store sales growth (SSSG) stood at 19%, supported by festive demand and continued demand for lightweight jewellery amid elevated gold prices.

Diamond jewellery revenue rose 31% year-on-year, while volumes increased 7% during Q2. E-commerce sales grew 53% from a year earlier.

For the first half of FY27, Senco Gold's total revenue increased 48%, while retail revenue grew 40%. The company crossed ₹5,000 crore in revenue during the first half for the first time and surpassed ₹10,000 crore in sales on a trailing 12-month basis.

The business update was released after market hours on Wednesday, putting Senco Gold shares in focus when trading resumed on October 8.

Why Senco Gold Shares Are Rising Today

Senco Gold shares gained after the September-quarter update showed growth across key operating metrics despite gold prices remaining elevated.

Gold prices were around 28% higher year-on-year during the quarter, although they remained broadly stable on a sequential basis. Against this backdrop, Senco Gold continued to see demand for lightweight jewellery as customers adjusted purchases to higher gold prices.

The company's diamond jewellery business recorded 31% year-on-year revenue growth during Q2, while volumes rose 7%. E-commerce sales increased 53%, adding to the growth across the company's retail business.

Senco Gold also continued to expand its store network during the quarter. The company opened six showrooms in Q2, including three company-owned-company-operated stores and three franchise outlets.

During the first half of FY27, Senco Gold added 14 showrooms, taking its total network to 215 stores. The company plans to open another 10-12 showrooms during the second half of the financial year across company-owned and franchise formats.

Senco Gold Q2 Business Update

Senco Gold expects the festive and wedding seasons to support jewellery demand during the second half of FY27.

“With the monsoon season now behind us, improving rural sentiment, the festive season and the upcoming wedding calendar are expected to provide a more supportive demand environment in H2,” the company said in its business update.

The company, however, flagged elevated gold prices as a continuing challenge for affordability and working capital. Senco Gold said the environment could also create opportunities for organised jewellery retailers with established brands, sourcing capabilities, exchange programmes and disciplined inventory management to gain market share.

Demand during the second half is expected to be supported by the festive calendar, including Dhanteras, Diwali, Durga Puja, Karwa Chauth, Chhath Puja and Christmas, along with wedding-related jewellery purchases.

Senco Gold shares had closed at ₹320.60 on the NSE on Wednesday, before the Q2 business update was released.

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