Kalyan Jewellers share price declined 3% on Thursday, February 6 after the company’s promoters created additional pledge on their stake.
According to an exchange filing, the promoters of the company created an additional pledge on 2.5 crore shares of the company, representing a 2.47% stake. With this, the total shares pledged increased from 8.5 crore to 11 crore, taking the overall stake pledged to 10.73% from 8.26%.
The promoters of the company – Trikkur Kalyanaraman Seetharam and Trikkur Kalyanaram Ramesh pledge shares as security for the issuance of Non-Convertible Debentures (NCDs). The shares were pledged on Monday, February 3, the exchange filing by the company showed.
Earlier in January, Kalyan Jewellers had disclosed that its promoters T.S. Kalyanaraman and T.K. Ramesh, holding 22.29% and 18.04% stake as of the December quarter had pledged shares to multiple entities(Catalyst Trusteeship, Bajaj Finance, Aditya Birla Finance, Tata Capital, STCI Finance, HSBC Invest Direct, and Infina Finance) to secure loan facilities.
Following this update, Kalyan Jewellers shares snapped their two-day winning streak, and dipped 2.89% to the day’s low of ₹551.15 on the BSE.
Kalyan Jewellers share price opened at ₹563.50, slightly lower than the previous close of ₹567.60 apiece. In trade so far, the stock has touched the day’s high of ₹569.60.
Kalyan Jewellers Share Price Trend
The jewellery stock has been on a roller coaster ride off late, with the stock witnessing heavy battering last month followed by a sharp rebound.
The selloff in Kalyan Jewellers shares came amid social media rumors alleging misconduct by Motilal Oswal AMC fund managers regarding the company’s stock. The company refuted these claims, clarifying that no IT raids occurred and dismissing bribery allegations as “absurd”.
Meanwhile, in the last five trading sessions (barring today’s), Kalyan Jewellers shares have surged as much as 26% on the back of positive triggers such as strong quarterly earnings and the Budget 2025 announcement of a reduction in duty on certain precious metals, including gold jewellery.
Kalyan Jewellers Q3 Report Card
Kalyan Jewellers reported a 44% year-on-year (YoY) growth in its profit after tax (PAT), amounting to ₹219 crore, up from ₹180 crore in the same period last year. The consolidated PAT growth comes after adjusting for the loss due to the reduction in customs duty announced in the Union Budget in July 2024.
Additionally, Kalyan Jewellers posted consolidated revenue of ₹7,287 crore for Q3 FY25, compared to ₹5,223 crore in the same quarter of the previous year, reflecting a 40% growth.
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