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Thangamayil Jewellery shares hit 10% lower circuit after weak guidance
Despite Q1 FY27 net profit rising 86% year over year to ₹85 crore, the company warned that gold demand is under pressure from higher import duties and uncertainty tied to the West Asia war.
Thangamayil Jewellery shares fell sharply on Wednesday, hitting the 10% lower circuit on the BSE at ₹6,461, as investors focused more on the company’s cautious outlook for the quarter ahead than on its June quarter results.
According to LiveMint, the jewellery retailer reported net profit of ₹85 crore for the quarter ended June 2026, up 86% from ₹45.7 crore a year earlier. Revenue from operations rose 71.2% year over year to ₹2,666.4 crore, while EBITDA increased 66.2% to ₹144.6 crore, though the EBITDA margin slipped to 5.4% from 5.6% a year ago.
Management attributed near term weakness in demand to multiple factors, including uncertainty linked to the West Asia war, higher gold import duty from 6% to 15% effective May 13, 2026, and rupee depreciation. It said customers were also delaying jewellery purchases while expecting gold prices to soften, as gold volumes remained relatively subdued.
LiveMint added that same store sales growth stood at 44.4% for the quarter ended June 30, 2026, versus 72.3% growth quarter on quarter, and that slower gold purchases by expatriates, tied to lower inward remittances, weighed on offtake.
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