Editor’s Note
This article highlights the resilience of the organized gold jewelry sector, which has maintained strong sales despite significant price volatility. The sustained demand underscores the enduring appeal of gold as both an investment and a cultural asset.
Gold prices have been rising continuously, yet the demand for gold jewelry remained steady in January. Despite the fluctuations in gold prices, organized sector jewelry retailers have delivered strong performance in the December quarter, and demand persisted in January as well. According to a report by JM Financial, companies’ sales did not halt even after the increase in gold prices, and a surge in demand was observed in the third quarter.
Titan’s jewelry business recorded a 40 percent year-on-year growth in revenue this quarter, while it saw a 32 percent growth in the same period last year. Meanwhile, Kalyan Jewellers registered a 42 percent year-on-year growth in its revenue, which indicates a 27 percent growth in same-store sales. The company’s revenue in the Indian business has increased to Rs 90 billion.
According to the report, jewelry maintained momentum in consumer discretionary companies during the December quarter (Q3 FY2026), driven by robust same-store sales and the addition of new stores.
According to the report, a major reason for the increasing demand for jewelry is big-ticket purchases for weddings. Consumers are prioritizing large purchases, especially in categories impacted by GST reductions. The report states that the expected benefits from GST rate cuts have not yet materialized, as customers have prioritized large purchases with higher GST discounts. The quarter’s performance was boosted by festivals and the wedding season, although some moderation in jewelry purchases was observed in the second half of January due to weddings and regional disruptions, including severe cold weather.
According to the report, jewelry retailers expanded their number of new stores, which led to an increase in sales. Additionally, a nearly 65 percent year-on-year increase in gold prices can also be seen as a key positive factor. Experts say that rising gold prices have changed consumer purchasing patterns. While jewelry purchases for weddings are happening as planned, the demand for lighter-weight jewelry has increased. These organized retailers have the entire range available for this. This shift in consumer preference has also boosted companies’ sales.