With the successful scale-up of its new franchise businesses (~40 revenue contribution) and continued success in non-Southern markets, Kalyan Jewellers India Ltd. has established itself as a leading brand in the industry.
Its non-South expansion has improved the studded jewelry mix, while the asset-light expansion supports healthy cash flow generation for debt repayment and enhances profitability by reducing interest costs. It is also gaining momentum in the Middle East and the US.
We model 21%/17%/21% revenue/Ebitda/PAT CAGR over FY26-28E. We reiterate our Buy rating with a target price of Rs 700 (based on 50x Jun’27 P/E.
