New Delhi: PC Jeweller Ltd has reduced its net debt by 19 per cent in the last four months to Rs 1,445 crore on higher sales and will become debt-free by the end of this fiscal, the company’s MD Balram Garg said.
Delhi-based PC Jeweller has 52 showrooms, of which 49 are company-owned, across major cities of the country.
“We have repaid bank loans worth Rs 335 crore during April-July period of this fiscal,” Garg told PTI.
The net debt has come down to Rs 1445 crore at the end of July month from Rs 1,780 crore at the beginning of 2025-26 fiscal year. PC Jeweller is reducing its debt from internal accruals and funds raised from promoters and investors.
“We will become debt free by end of this fiscal,” Garg said.
In its investor presentation, PC Jeweller said the company had already reduced its outstanding debt towards banks by more than 50 per cent in the 2024-25, as per the settlement agreement with its financial institutions.
“It has further reduced its outstanding debt payable to its banks that stood at the end of previous fiscal…, by another 8.7 per cent during the quarter ended 30th June 2025 and another 10.1 per cent in July 2025,” the company said.
For further reduction of bank loans, the company’s board last month approved a proposal to raise Rs 500 crore equity from promoters and Capital Ventures Pvt Ltd.
Besides this proposed Rs 500 crore, PC Jeweller will receive Rs 1,300 crore from promoters and investors on conversion of warrants into equity shares. These Rs 1800 crore funds will help company in clearing all its outstanding debt.
Last week, PC Jeweller reported a sharp jump in its total income to Rs 807.88 crore during the April-June period of 2025-26 fiscal from Rs 439.78 crore in the corresponding period of the preceding year.
The company reported a 4 per cent increase in its consolidated net profit to Rs 161.93 crore for the quarter ended June from Rs 156.06 crore in the year-ago period because of the high base effect.
But, the profit before tax nearly doubled to Rs 163.58 crore from Rs 84.64 crore during the period under review.
The company got tax refunds to the tune of Rs 71.39 crore in the April-June quarter of the last fiscal, resulting in higher net profit.
During the 2024-25 fiscal, PC Jeweller had posted a net profit of Rs 577.70 crore and a total income of Rs 2,371.87 crore.
Garg said the jewellery market is gradually becoming organised, helped by the government’s hallmarking scheme which has ensured quality of the products for consumers.
The demand for gold and silver jewellery continues to be strong despite high prices, he added.>
