Khazanchi expects 25%-30% revenue growth in FY27 after profit nearly doubled
The jeweller is leaning on a new Chennai showroom and a bigger retail mix to sustain momentum after a strong FY26.
— 1 earlier story on Khazanchi Jewellers Ltd. →What's new
- Management guided for 25%-30% revenue growth in FY27, targeting a retail sales share of 25% within two years.
- A new 10,000 sq ft Chennai showroom is expected to contribute ₹450-500 crore in annual revenue.
- Gross margins are rising as sales shift toward higher-margin diamond jewellery under the Vajraa brand.
Why this matters
Khazanchi is taking a ₹2,051 crore business and pushing for 25%-30% growth in a single year. The plan hinges on a new flagship store hitting ₹450-500 crore in sales, a figure that would represent nearly a quarter of last year's total revenue. That is an ambitious ramp from a standing start.
What we're watching
- The first-quarter sales trajectory of the new Chennai flagship.
- Whether the retail sales mix actually climbs to 25% as planned.
- Any demand softening from the Prime Minister's call to pause gold buying.
The full read
Khazanchi Jewellers closed FY26 with profit after tax of ₹89.4 crore on revenue of ₹2,051 crore. Now, management is guiding for 25%-30% revenue growth in FY27. The growth plan rests on two pillars. The first is a new 10,000 sq ft showroom in Chennai, which management says will hit ₹450-500 crore in annual sales. That would make the single store responsible for nearly a quarter of last year's entire revenue. The second is a long-term push to lift the retail share of total sales to 25% from its current level, a shift expected to improve gross margins as the mix tilts toward diamond jewellery under the Vajraa brand. On the macro headwind, management played down the Prime Minister's call to halt gold purchases, citing cultural traditions and the recyclability of household gold. For a company that just posted near-100% profit growth, the guidance is ambitious but specific. The first test is the Chennai ramp.
Questions answered
- What is Khazanchi's revenue growth target for FY27?
- Management guided for 25%-30% growth in the year ending March 2027. The growth is expected to come from the new Chennai showroom and a planned increase in the retail share of total sales.
- How much revenue is the new Chennai store expected to generate?
- Management is targeting ₹450-500 crore in annual revenue from the new 10,000 sq ft flagship showroom. For context, the company's total revenue in FY26 was ₹2,051 crore.
- How did FY26 results set the stage for this guidance?
- Khazanchi reported FY26 revenue of ₹2,051 crore and profit after tax of ₹89.4 crore, nearly double the prior year's figure. The strong profit growth provides a base for the aggressive FY27 target.
- Why did management dismiss concerns about the Prime Minister's remarks?
- Executives argued that deep cultural traditions around gold and the recyclability of existing household gold would limit any disruption. They see the impact as temporary rather than structural.
- What is driving the improvement in gross margins?
- The company is shifting its sales mix toward higher-margin diamond jewellery under its Vajraa brand. This, combined with a growing retail share of total sales, is lifting gross profit margins.
Story so far
All notes on KHAZANCHI →- 8 Jun 2026 · 8:33 AM IST Khazanchi expects 25%-30% revenue growth in FY27 after profit nearly doubled
- 17d ago Khazanchi Jewellers doubles FY26 profit as board plans main-board shift