Sky Gold and Diamonds Limited has released the transcript of its earnings conference call held on May 28, 2026, discussing the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026. During the call, Managing Director Mangesh Chauhan outlined the company's strategic evolution across three phases, emphasizing a pivot towards an organic, self-sustaining financial architecture for Phase 3, aiming for a net debt-free balance sheet by FY30. The company plans to reduce net debt by over 50% in FY27 through land sales and operational improvements. Sky Gold's B2B manufacturing model, focus on lightweight and studded jewelry, and deepened partnerships with major retailers are highlighted as key drivers of performance. The company is targeting a sustainable revenue CAGR of 30% to 35% and a PAT of ₹945 crores by 2030. They are also implementing a best-in-class institutional framework, including appointing M S K A & Associates LLP as statutory auditors and transitioning promoters to a dividend-only compensation model from FY27. In a significant announcement, the company proposes to elevate Akash Talesara, currently President - Sales, to the role of CEO, subject to Board approval. This move is intended to position the company for accelerated growth towards its FY30 target of achieving sales of ₹18,000 to ₹19,000 crores with a nil net debt position. CFO Siddharth Sipani detailed the financial strategy, noting an improved working capital cycle with net working capital days dropping to 59 from 71 in March '25. The consolidated gross margin stands at 8.45%, up 245 basis points from FY24. The company expects gross margin expansion by 60 to 90 basis points and anticipates a drop in interest costs to zero as they transition towards a net debt-free balance sheet. They have guided for a conservative 5.25% PAT margin by FY2030. Discussions also covered the impact of government policies on gold imports, the shift towards lower karatage jewelry, and the company's zero Gold Metal Loan (GML) exposure. The company is confident in its ability to navigate regulatory changes and capture market share due to its organized player status and focus on lightweight jewelry.
