Kalyan Jewellers India Limited (NSE:KALYANKJIL) Just Released Its Second-Quarter Results And Analysts Are Updating Their Estimates

Last week, you might have seen that Kalyan Jewellers India Limited (NSE:KALYANKJIL) released its second-quarter result to the market. The early response was not positive, with shares down 5.8% to ₹654 in the past week. It was a credible result overall, with revenues of ₹61b and statutory earnings per share of ₹5.80 both in line with analyst estimates, showing that Kalyan Jewellers India is executing in line with expectations. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

View our latest analysis for Kalyan Jewellers India

After the latest results, the eight analysts covering Kalyan Jewellers India are now predicting revenues of ₹246.6b in 2025. If met, this would reflect a solid 15% improvement in revenue compared to the last 12 months. Per-share earnings are expected to jump 22% to ₹7.44. In the lead-up to this report, the analysts had been modelling revenues of ₹245.1b and earnings per share (EPS) of ₹8.25 in 2025. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a minor downgrade to their earnings per share forecasts.

It might be a surprise to learn that the consensus price target was broadly unchanged at ₹747, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic Kalyan Jewellers India analyst has a price target of ₹810 per share, while the most pessimistic values it at ₹624. This is a very narrow spread of estimates, implying either that Kalyan Jewellers India is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's clear from the latest estimates that Kalyan Jewellers India's rate of growth is expected to accelerate meaningfully, with the forecast 33% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 24% p.a. over the past three years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 15% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Kalyan Jewellers India is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Kalyan Jewellers India going out to 2027, and you can see them free on our platform here..

And what about risks? Every company has them, and we've spotted 1 warning sign for Kalyan Jewellers India you should know about.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.