Thangamayil Jewellery Shares Hit 10% Lower Circuit Despite 86% Profit Jump In Q1 FY27; Weak Outlook Weighs

Thangamayil Jewellery Q1 Results: Shares of Thangamayil Jewellery hit the 10% lower circuit on Wednesday after the company issued a cautious outlook for the ongoing quarter, overshadowing a strong set of June quarter earnings. The stock fell to ₹6,461 on the BSE even as the jewellery retailer reported robust growth in revenue and profit.

At the close of trading hours, Thangamayil Jewellery shares were locked at the 10% lower circuit at ₹6,461 apiece on the BSE.

Thangamayil Jewellery Q1 FY27 Results

Thangamayil Jewellery reported a net profit of ₹85 crore for the quarter ended June 30, 2026, up 86% from ₹45.7 crore in the corresponding quarter last year.

Revenue from operations rose 71.2% year-on-year to ₹2,666.4 crore, compared with ₹1,558 crore in the year-ago period.

Operating performance also improved during the quarter. EBITDA increased 66.2% to ₹144.6 crore from ₹87 crore a year earlier. However, the EBITDA margin slipped to 5.4% from 5.6% in the corresponding quarter last year.

Thangamayil Jewellery Q2 Outlook

Despite the strong earnings, management flagged continued weakness in demand, leading to a sharp sell-off in the stock.

The company said same-store sales (SSS) growth stood at 44.4% during the June quarter, lower than the 72.3% recorded on a sequential basis. Gold volumes remained subdued even though international gold prices were lower than in the previous quarter.

According to the company, higher gold import duty, which was raised from 6% to 15% on May 13, 2026, along with the depreciation of the Indian rupee, prompted many customers to defer jewellery purchases in anticipation of lower gold prices.

Management also said uncertainty arising from the conflict in West Asia affected consumer sentiment. Lower inward remittances from expatriates in the company's key markets further weighed on demand during the quarter.

The company added that it has not seen any meaningful improvement in sales during the first 28 days of Q2 FY27. It attributed the continued softness to geopolitical uncertainty and customers postponing purchases in the hope of a moderation in gold prices.

However, Thangamayil Jewellery expects demand to recover in the second half of FY27 once geopolitical conditions stabilise and consumer confidence improves.

Thangamayil Jewellery Share Price

Wednesday's decline came after the stock had rallied sharply in recent months. Despite the correction, Thangamayil Jewellery shares have gained 10% over the past month, 62% in the last three months and 85% over six months. Over the past year, the stock has surged 249%, while it has delivered a return of nearly 1,370% over the last five years.

The stock had touched its 52-week high of ₹7,429 in the previous trading session, while its 52-week low of ₹1,774.35 was recorded in July last year.

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