SKYGOLD
Micro CapSKY GOLD AND DIAMONDS LIMITED
Consumer
Sky Gold and Diamonds Limited, established in 2005, is a B2B manufacturer of casting gold and diamond jewellery. It serves major B2C retailers in India and the Middle East, focusing on lightweight, design-centric products. The company emphasizes technological innovation, creative scalability, and operational excellence.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Investable fundamentals, management trust is acceptable, price trend is neutral, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Excellent · 100/100Rev +81% YoY · PAT +139% YoY · margin expansion · +8% QoQ · operating leverage
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,912 Cr | +80.7% | +8.1% |
| EBITDA | ₹141 Cr | +123.8% | +15.6% |
| Operating margin | 7.0% | +100 bps | +0 bps |
| PAT | ₹91 Cr | +139.5% | +12.3% |
| PAT margin | 4.8% | +117 bps | +18 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
SKYGOLD reports robust Q4 FY26 performance with Revenue from Operations up 80.6% YoY and PAT up 137.4% YoY. For FY26, Revenue grew 77.4% YoY and PAT increased 112.4% YoY, driven by margin expansion and strategic initiatives.
While SKYGOLD delivered strong top-line and bottom-line growth, the negative operating cash flow and high net debt remain a concern. Management's strategic shift to an asset-light model and focus on cash generation are positive, but execution on these fronts is critical to de-stress the balance sheet and support future growth.
Volume Contribution by Business Model
Latest issuer-disclosed distribution across 2 reported categories.
Value-Added Products & Design Innovation
Value-Added share of business surged from <10% in FY23 to ~50-55% in FY26, driving gross margin expansion. Design talent pool doubled to ~150 professionals.
Advance Gold Model Expansion
Advance gold contributed 11.5% of volumes in FY26, expected to reach ~30% by FY30. This model reduces capital intensity and enables high-volume scalability.
Global Market Penetration
Successfully onboarded one of the Middle East’s largest retail chains. Bolstered Dubai office with an experienced team to grow across Middle East and Southeast Asia.
Expansion into New Categories
Plans to expand into emerging categories such as 18kt, 9kt, and diamond-studded jewellery, and new/nurturing business of natural & lab-grown diamonds.
Manufacturing Footprint Expansion
Manufacturing footprint expanded to 1,35,000 sq. ft. with a manufacturing capacity of 14.4 tonne per year.
Asset-Light Expansion Model
Company decided to monetize land asset and shift to leased manufacturing facilities for faster scalability and improved capital efficiency.
Growing Indian Jewellery Market
Indian jewellery retail market is set to touch USD 145 billion by FY 2028, driven by macroeconomic tailwinds and rising disposable incomes.
Shift to Organized Sector
Organized sector market size projected to grow from USD 19.2 billion in FY 2020 to USD 82.65 billion by FY 2028, reflecting a CAGR of 20%.
Younger Demographics Driving Demand
Over 65% of India's population under 35 demands jewellery emphasizing quality, authenticity, and purity, creating opportunity for premium yet accessible offerings.
Negative Operating Cash Flow
Net Cash from Operating Activities was (44.9) Cr in Mar-26 and (272.2) Cr in Mar-25, indicating significant cash consumption from operations.
High Borrowings and Finance Costs
Current borrowings stood at ₹799.8 Cr in Mar-26, with finance costs of ₹78.8 Cr for FY26, posing a burden on profitability and balance sheet.
Working Capital Management
Changes in Working Capital consumed (388.8) Cr in Mar-26. While Net Working Capital Days improved to 59, further improvement is needed for positive cash flow.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
YoY comparison is essential to assess the company's significant growth trajectory and margin expansion over a full year and quarter. QoQ comparison is also relevant to track sequential momentum in revenue and profitability, especially given the rapid expansion.
Revenue from Operations
Q4 FY26: ₹1,911.5 Crore (+80.6% Y-o-Y); FY26: ₹6,294.9 Crore (+77.4% Y-o-Y).
Gross Profit Margin
Q4 FY26: 8.9% (+112bps Y-o-Y); FY26: 8.5% (+140bps Y-o-Y). Management attributes this to strengthening merchandising capabilities and value-added share.
PAT Margin
Q4 FY26: 4.8% (+120bps Y-o-Y); FY26: 4.5% (+80bps Y-o-Y).
Value-Added Share of Business
Surged from <10% in FY23 to ~50-55% in FY26, serving as the primary driver for gross margin expansion.
Commitment to Cash-First Philosophy
Promoters will not draw salaries from FY27; all payouts will be solely through dividends generated from operating cash flows, aligning outcomes with cash generation.
Revised FY27 Guidance
Revenue projected at ~₹8,100 crore, EBITDA margin expected in the range of ~7.0-7.5%, and PAT margin guided at 4.5% - 4.75%.
Vision 2030 Targets
Revenue expected to be ~₹18,000 -19,000 crore, PAT margin projected at ~5.25%+, ROCE of 27%+, and achieving net debt positive status.
Strengthening Corporate Governance
Onboarded M S K A & Associates LLP (BDO International member firm) as Statutory Auditors and introduced an ESOP program for employees.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Net Cash from Operating Activities | (44.9) Cr (FY26) | Achieving positive cash flow generation from FY27 onward, as guided by management. |
| Net Debt Position | Total borrowings ~848 Cr (Mar-26) vs cash ~8 Cr | Realization of ~20% reduction in net borrowings from land monetization and progress towards net debt positive by FY30. |
| Advance Gold Volume Contribution | 11.5% (FY26) | Increase towards the ~30% target by FY30, which is crucial for capital efficiency and scalability. |
| PAT Margin | 4.5% (FY26) | Sustaining FY27 guidance of 4.5%-4.75% and progress towards the FY30 projection of ~5.25%+, driven by mix improvement. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
53NeutralSMA20 +45.1% / mo
Technical chart
SKYGOLDdaily · 5Y+48.0%Technical trend read
Mixed signalsSignals are conflicting — long-term trend unclear. RSI 55. Wait for confirmation.
- SMA20 rising (~8.7% over last month) — short-term momentum positive.
- RSI(14) at 55 — falling, no extreme reading.
- MACD below signal but histogram contracting — bearish momentum easing.
- 13% off 52W high · 72% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
UNDERVALUEDWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Fair-value margin of safety is positive at 62.8%.
- Quality contributes 18/20 to the score.
- Growth contributes 22/25 to the score.
Main drags
- Cash flow is weaker at 0/10; verify the latest quarterly trend.
- Valuation is weaker at 15/30; verify the latest quarterly trend.
- Balance sheet is weaker at 8/15; verify the latest quarterly trend.
Consumer valuation: PE/PEG and brand-quality premium
Consumer franchises can deserve higher multiples, but only when growth quality supports them.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +1 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Claim history is still being built. It ranks around the 64th percentile of the scored universe and 63rd percentile within Consumer. Main check: cash conversion is weak at 28/100.
Healthy Trust Lite: Promoter pledge is zero. Key concern: Operating cash flow is negative at ₹-273 Cr.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · Consumer: 63rd pctile, median 67 · Micro: 46th pctile, median 71
0 documents indexed, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Healthy Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸ROCE is 21.2%.
- ▸8/8 recent quarters had positive YoY revenue growth.
- ▸8/8 recent quarters had positive YoY PAT growth.
Trust risks
- ▸Operating cash flow is negative at ₹-273 Cr.
- ▸Promoter holding fell 2.1%.
- ▸Only 0 years of positive FCF.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Intrinsic value
Fundamentals
Valuation
- P/E
- 27.70
- P/B
- 6.36
- EV/EBITDA
- 18.99
- Market Cap
- 7619.00Cr
Profitability
- ROE
- 29.20%
- ROCE
- 27.00%
- ROA
- 12.85%
- Dividend Y
- —
Growth (CAGR)
- Revenue 5Y
- 122.00%
- EPS 5Y
- 122.00%
- Revenue 3Y
- 76.00%
- EPS 3Y
- 145.00%
Balance Sheet
- Debt/Equity
- 0.72
- Interest Coverage
- 5.49×
- Altman Z
- 8.97
- Book Value
- 77.40
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 0/5
- OCF
- -45.00 Cr
- EPS TTM
- 17.78
Shareholding
- Promoter Hold
- 51.74%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 72%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in Consumer — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.