Shares of PC Jeweller gained 4% to their day's high of Rs 14.63 on the BSE on Monday after the company said it has become debt-free, having cleared dues of all 14 consortium banks. This news will likely boost investor sentiment further, following an 89% rally in just six months.

PC Jeweller announced on Friday that it has completed all its repayments ahead of scheduled due dates, and the debt-free status will materially strengthen its balance sheet and financial position.

The settlement agreement, which was signed in September, 2024, was a one-time settlement between PC Jeweller and a 14-bank consortium led by State Bank of India (SBI), which aimed to resolve a stressed loan book that stood at nearly Rs 4,100 crore as of March 2024. The other consortium members included Union Bank, Punjab National Bank (PNB), Axis Bank, IndusInd Bank, Bank of India, IDBI Bank, Karur Vysya Bank, Kotak Mahindra Bank, Indian Overseas Bank, Canara Bank, Indian Bank, Bank of Baroda and IDFC First Bank.

Also read | PC Jeweller becomes debt-free after clearing dues of all 14 consortium banks

PC Jeweller shares have seen a sharp surge recently following the company’s back to back repayments to lenders. After hitting a 52-week low of Rs 7.47 apiece in March, the stock rapidly rallied 89% to close at Rs 14.11 apiece last week.

Overall, the shares of the jeweller have jumped 11% in one week, 30% in a month and more than 52% in 2026 so far. The stock has gained 17% in the past one year.

In the longer term, PC Jeweller shares have delivered multibagger returns of 443% in three years and 439% in five years. The company’s market capitalisation stood at over Rs 13,760 crore.

PC Jeweller in August reported a consolidated net profit of Rs 222 crore in Q1 FY27, marking 37% year-on-year (YoY) increase from the Rs 153 crore reported in the year-ago period. Revenue from operations, meanwhile, rose 21% YoY to Rs 877 crore in the April-June quarter of the ongoing financial year, from Rs 725 crore in the year-ago period.

PC Jeweller’s consolidated operating PAT, excluding other income, surged to Rs 213 crore in Q1 FY27 from Rs 79 crore in the year-ago quarter. This translates into an impressive 168% YoY growth, highlighting a substantial improvement in the company's core business performance.

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Disclaimer: This article has been written by Debaroti Adhikary, who is not a SEBI-registered Research Analyst or an Investment Adviser. Debaroti Adhikary and his/her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here.