Editor’s Note
D.P. Abhushan Ltd. saw its shares surge 16% on Monday following strong Q1 FY27 results and an ambitious retail expansion plan. Despite a 13% decline over the past year, the company’s latest performance and growth strategy have reignited investor confidence.
Jewellery Stock Skyrockets 16% After Reporting Strong Q1 Results and Expansion Plans
by Gourav Singh | July 20, 2026 4:13 pm
Synopsis: Jewellery stock surged 16 percent after strong Q1 FY27 results, while the company unveiled an aggressive retail expansion strategy to support long-term growth.
The share of D.P. Abhushan Ltd., which is engaged in the business of manufacturing, selling, and trading jewellery and other precious metals, gained investor focus after posting Q1 numbers. With a market capitalization of Rs 3,302 crore, the company’s share on Monday made a day high of Rs 1,550 per share, up by 16.1 percent from its previous day’s close price of Rs 1,334.28 per share. The share of the company gave a negative return of 13 percent over the last year.
The revenue from operations decreased by 36.14 percent QoQ to Rs 852.40 crore in Q1 FY27 from Rs 1,334.73 crore in Q4 FY26, while Profit before exceptional items and tax grew by 29.61 percent QoQ to Rs 86.21 crore in Q1 FY27 from Rs 66.52 crore in Q4 FY26. This was accompanied by a Profit for the period growth of 27.37 percent QoQ to Rs 64.45 crore in Q1 FY27 from Rs 50.60 crore in Q4 FY26.
The revenue from operations grew by 57.74 percent YoY to Rs 852.40 crore in Q1 FY27 (June 30, 2026) from Rs 540.37 crore in Q1 FY26 (June 30, 2025), and Profit before exceptional items and tax grew by 77.42 percent YoY to Rs 86.21 crore in Q1 FY27 from Rs 48.59 crore in Q1 FY26. This was accompanied by a growth in profit for the period of 76.94 percent YoY to Rs 64.45 crore in Q1 FY27 from Rs 36.42 crore in Q1 FY26.
The company approved the opening of a company-owned jewellery showroom in Dahod, Gujarat, with an approximate retail area of 3,200 square feet. This marks the company’s entry into the Gujarat market and is expected to strengthen its retail presence in western India.
The board approved the company’s first FOCO (Franchise Owned Company Operated) jewellery showroom in Jabalpur, Madhya Pradesh, with an approximate retail area of 3,750 square feet. The asset-light expansion model is expected to help the company enter new markets, strengthen its brand presence, and expand customer reach.
To support business growth, the company reported inventory changes of Rs 105.36 crore in Q1 FY27, compared to Rs 44.52 crore in Q1 FY26. Purchases of stock-in-trade also increased to Rs 675.15 crore in Q1 FY27 from Rs 328.10 crore in Q1 FY26, reflecting higher procurement to meet growing demand.
Rather than focusing only on short-term earnings, the company is investing in expanding its retail footprint. It has approved a company-owned jewellery showroom in Dahod, Gujarat, with a retail area of around 3,200 sq. ft., marking its first showroom in the state. The move is expected to improve customer access and strengthen brand visibility in western India.
The Dahod showroom will be fully owned and operated by the company, allowing it to maintain control over product quality, customer experience, and operations. This strategic entry into Gujarat reflects the company’s focus on building a stronger retail network in new markets while supporting long-term brand growth.
The company has also approved its first Franchise Owned Company Operated (FOCO) showroom in Jabalpur, Madhya Pradesh, covering around 3,750 sq. ft. The FOCO model will help the company expand into new markets with lower capital investment while ensuring consistent branding, quality standards, and customer experience across its retail network.
By combining company-owned stores with an asset-light franchise model, the company is creating a balanced expansion strategy. This approach allows it to increase its geographic reach, improve brand recognition, and build a larger customer base, positioning the business for sustainable long-term growth beyond quarterly earnings.
D.P. Abhushan Ltd. is a major Indian jewelry retailer that manufactures and sells gold, diamond, platinum, and silver ornaments. Operating primarily under the brand name D.P. Jewellers, it has a rich history spanning over eight decades.
Wedding jewellery continued to dominate the product portfolio in FY26, contributing 60 percent of total sales. Strong bridal demand remained the company’s biggest revenue driver, highlighting its strong position in the wedding jewellery segment.
Festival and lightweight jewellery accounted for 25 percent of the product mix in FY26. This category benefited from festive demand and everyday jewellery purchases, helping the company maintain a balanced product offering.
The corporate and gifting segment contributed the remaining 15 percent of the product portfolio. While smaller than the bridal segment, it provided additional revenue diversification, with wedding jewellery continuing to be the company’s primary growth engine.