Editor’s Note
IGI India’s asset-light strategy continues to drive robust financial performance, with strong Q3 results and a growth outlook underpinned by the expanding lab-grown diamond segment.
IGI India leads diamond certification through an asset-light model. Q3CY26 revenue rose 21% YoY to Rs. 304 crore, EBITDA grew 20% to Rs. 176 crore, with 58% margins, while CY26 guidance targets 15% revenue and 20% EBITDA growth driven by lab-grown diamonds.
This company is the world’s largest independent certification and accreditation services provider in the fields of diamond, gemstone and jewellery, and is now in focus for its asset-light model and targeting EBITDA of 20%.
With a market capitalisation of Rs. 14,449 cr, the shares of International Gemmological Institute (India) Ltd are currently trading at Rs. 334 per share, down from its previous close of Rs. 336.20 per share. The stock has declined 44% year-to-date, down 12% over the past six months, and up by 1.5% in the last month.
Comparing Q3CY26 to Q2CY26, the company showed modest growth across its key financial metrics. Sales increased slightly from Rs. 301 crore to Rs. 304 crore, marking a 1% rise. EBITDA grew from Rs. 174 crore to Rs. 176 crore, a 1% improvement, while net profit rose from Rs. 127 crore to Rs. 130 crore, an increase of approximately 2%. Earnings per share (EPS) also increased from Rs. 2.93 to Rs. 3.00, reflecting steady quarter-to-quarter performance.
On a yearly basis, Q3CY26 saw significant growth compared to Q3FY25. Sales jumped from Rs. 250 crore to Rs. 304 crore, up 21%. Operating profit margin rose by 58% and EBITDA rose from Rs. 147 crore to Rs. 176 crore, a 20% increase, while net profit expanded from Rs. 110 crore to Rs. 130 crore, up 18%. EPS improved from Rs. 2.76 to Rs. 3.00, reflecting a 9% growth, highlighting the company’s strong operational and profitability gains over the year.
As of 30th September 2025, IGI India’s shareholding is predominantly held by its promoter, Blackstone, which owns 76.55% of the company. Foreign Institutional Investors (FIIs) hold 10.55%, while Domestic Institutional Investors (DIIs), including banks, mutual funds, AIFs, and insurance companies, account for 5.15%, with ICICI Prudential Asset Management holding 1.65% individually.
The remaining 7.75% of shares are held by the public. Among notable FPI/FII investors, the Government of Singapore holds 1.97% and the Abu Dhabi Investment Authority – Monsoon holds 1.33%, reflecting a strong institutional presence alongside promoter control.
IGI India has reaffirmed its (CY25) guidance, targeting over 15% revenue growth and around 20% EBITDA growth, with management expressing confidence in achieving or even slightly surpassing these targets.
Diamonds and gemstones, unlike gold and silver, are luxury items primarily used by a select group of people, such as celebrities, sports stars, and high-net-worth individuals, often as a display of wealth and status.
While the overall diamond market is smaller compared to gold and silver, this niche appeal creates a specialised demand for quality and authenticity. In this context, IGI India holds a unique position as the leading and essentially the only independent certification authority for diamonds and gemstones in the country.
This exclusivity gives it significant opportunities to expand and consolidate its market leadership, as the growing luxury segment increasingly relies on trusted certification to ensure the authenticity and value of its high-end jewellery.
The IGI laboratory-grown diamond jewellery identifies all mounted gemstones along with precious metal content and purity stamps, if available. For centre stones, it provides shape, cutting style, measurements, and full 4Cs grading, subject to mounting limitations. The report uses a standardised grading scale covering colour (D–Z and Fancy) and clarity (IF to I1–I3), and is issued with a distinctive yellow cover.
IGI India operates on an asset-light business model, which means it generates revenue and profits without owning significant physical assets like mines, factories, or large inventories. The company’s primary value lies in its expertise, credibility, and technology-driven services in diamond and gemstone certification. This model allows IGI India to focus on skilled gemologists, lab infrastructure, and intellectual property rather than capital-intensive operations.
The advantages are clear, like lower capital expenditure, higher operating margins, scalability, and flexibility to adapt to emerging trends such as lab-grown diamonds. By leveraging knowledge and trust over physical assets, IGI India can expand both domestically and internationally while maintaining a cost-efficient structure.
While gold and silver are driven largely by investment demand and macroeconomic factors like inflation and interest rates, diamonds and gemstones cater to a niche luxury market focused on status, fashion, and gifting. As a result, the demand for certified diamonds is less directly impacted by fluctuations in gold and silver markets.
