Detailed Narrative
Strong Financial Performance in Q3 and 9M FY26
Goldiam International reported a robust Q3 FY26 with consolidated revenue growth of 18% YoY. For the nine months ended December 31, 2025, consolidated revenues reached ₹777.34 crores, marking a 30% YoY increase. EBITDA for Q3 FY26 stood at ₹90.8 crores, up 28.2% YoY, with a healthy margin of 26.7%. Consolidated PAT for Q3 FY26 grew 37% YoY to ₹68.4 crores, and for 9M FY26, it increased 42% YoY to ₹133.36 crores, demonstrating strong profitability.
Strategic Focus on Lab-Grown Diamond Exports and Online Sales
Lab-grown diamond jewelry exports were a significant growth driver, contributing 90.5% to the overall export-sales mix in Q3 FY26, up from 80% in Q3 FY25. The company also saw a sharp increase in online revenue contribution, accounting for 31.6% of total revenue during the quarter. Goldiam's B2B export strategy focuses on increasing wallet share with existing customers, onboarding new large-format US retailers, and expanding into new geographies including Europe, Middle East, Israel, and Australia.
Origem B2C Expansion and Profitability Outlook
The B2C brand, Origem, currently operates 13 stores, with plans to open an additional 12-14 stores by March 2026, bringing the total to 24-26. A more aggressive expansion of 50 new stores is planned for H1 of the next fiscal year. While Origem incurred an operating loss of approximately ₹2.5 crores in Q3 FY26, the overall store fleet is nearing breakeven. Management targets ₹40 lakhs in monthly sales and a 2X inventory turn for mature stores, aiming for 38-42% margins.
Lab-Grown Diamond Price Stability and Demand
Contrary to historical trends, lab-grown diamond prices have stabilized and even shown upward movement in the last 3-4 months, particularly for sizes up to 1 carat. This stability is attributed to increased global demand from markets like the US, Middle East, Australia, and India, coupled with the rising cost of labor for cutting and polishing. Management believes this reduces the risk of price declines on loose diamond inventory.
Capital Allocation and Liquidity
The company declared an interim dividend of ₹2.75 per equity share. Goldiam maintains a strong liquidity position, with cash and cash equivalents, including investments, totaling ₹504.13 crores as of December 31, 2025. Investment per Origem store is estimated at ₹3.7-3.8 crores, covering ₹0.5-0.65 crores for fit-out, ₹0.3-0.4 crores for rental deposits, and ₹2.7-2.8 crores for inventory.
Competitive Advantages and Future Growth Drivers
Goldiam highlights its competitive advantages in B2B exports through superior design, quality, and the ability to consign jewelry. For Origem, key differentiators include product design informed by US bestsellers, a cost-of-goods advantage from corporate volumes, and a professional retail team. The company expects its B2B business to double in 3-5 years and anticipates 20-25% annualized growth from its dot-com channels, contributing to a record financial year.