Jewellery penny stock under Rs 20: Company allots 13,61,24,000 equity shares on conversion of warrants & opens new showroom in Delhi

DSIJ Intelligence-1 / 10 Sep 2025/ Categories: Multibaggers, Penny Stocks, Trending

Jewellery penny stock under Rs 20: Company allots 13,61,24,000 equity shares on conversion of warrants & opens new showroom in Delhi

The stock is up by 33 per cent from its 52-week low of Rs 10.21 per share and has given multibagger returns of over 700 per cent in 5 years.

PC Jeweller Ltd.'s Board of Directors approved the allotment of 13,61,24,000 new equity shares to three non-promoter public investors. This was done by converting 1,36,12,400 fully convertible warrants. The onversion was completed after the company received the final payment of Rs 57,37,62,660, which represents 75 per cent of the total issue price of ₹ 42.15 per warrant. The newly issued shares have a face value of Re 1 each and rank equally with existing shares. Following this allotment, the company's total paid-up share capital increased from Rs 693,19,44,150 to Rs 706,80,68,150.

The company also informed the opening of its new franchise showroom at Delhi on September 22, 2025, at Kapil Vihar, Pitampura, Delhi - 110034 Phone: 011 - 40198642

About the Company

PC Jeweller Ltd is an Indian company that designs, manufactures, sells and trades gold, platinum, diamond and silver jewellery. They operate across India with multiple brands, including Azva, Swarn Dharohar and LoveGold and even created commemorative medallions for the Cricket World Cup.

The Company reported a Profit After Tax (PAT) of Rs 164 crore on sales of Rs 725 crore in Q1 of the current financial year. This represents a significant improvement over the previous year's Q1, which saw a PAT of Rs 155 crore on sales of Rs 401 crore. Crucially, after adjusting for an exceptional Income Tax refund and interest of Rs 106 crore in the prior year, the Net Operating PAT for Q1 of the previous financial year was Rs 49 crore. This highlights a substantial 234% year-over-year increase in operating PAT, from Rs 49 crore to Rs 164 crore.

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Despite incurring finance costs of approximately Rs 41.6 crore in Q1 of this financial year (compared to a nearly negligible Rs 1.8 crore in Q1 of the previous financial year due to an interest moratorium), the Company still achieved a robust PAT of Rs 164 crore. The Company is actively working towards its goal of becoming debt-free by the end of FY 2025-2026. Significant progress has already been made, with approximately Rs 2,005 crore of debt discharged in the previous financial year and an additional Rs 335 crore repaid in Q1 of this financial year and July 2025. This has reduced the outstanding bank debt to approximately Rs 1,440 crore.

The company has a market cap of over Rs 8,700 crore. As of June 2025, State Bank of India (SBI) holds a 2.69 per cent stake and the Life Insurance Corporation of India (LIC) owns a 1.03 per cent stake in the company. The stock is up by 33 per cent from its 52-week low of Rs 10.21 per share and has given multibagger returns of over 700 per cent in 5 years.

Disclaimer: The article is for informational purposes only and not investment advice.