PC Jeweller shares surged 4% to Rs 14.08 apiece in Wednesday’s morning trade, following a recent announcement about the company's progress towards becoming debt-free. This rise comes on the heels of a profit booking session on Tuesday, which interrupted a three-day winning streak.
The stock has seen a remarkable 38% increase over the past week, and has gained more than 40% in one month. Over the course of 2026, it has risen by 50%. In a longer-term view, PC Jeweller has delivered strong returns of nearly 400% over three years and 430% over five years.
The rally began last week after PC Jeweller announced its plan to become debt-free by the end of this month. In a recent exchange filing, the company reported that it has repaid all outstanding debt to 10 out of 14 consortium banks ahead of schedule. It has also settled over 96% of the remaining debt owed to the other four banks.
The settlement agreement, signed in September 2024, involved a one-time settlement with a 14-bank consortium led by State Bank of India (SBI). This agreement aimed to resolve a stressed loan book of nearly Rs 4,100 crore as of March 2024.
In August, PC Jeweller reported a consolidated net profit of Rs 222 crore for Q1 FY27, marking a 37% year-on-year increase. Revenue from operations rose 21% YoY to Rs 877 crore, and operating PAT excluding other income surged 168% YoY to Rs 213 crore.
Background
PC Jeweller's financial turnaround has been closely watched by investors, especially given its historical performance and the challenges it faced with a significant debt load. The company's efforts to clear its debts and strengthen its balance sheet have been pivotal in restoring investor confidence.
As PC Jeweller approaches its debt-free milestone, investors will be keenly watching for the company's next moves and any further announcements that could impact its financial standing and stock performance.
