Rajesh Exports vs Titan vs Kalyan Jewellers: Comparing financials of top jewellery players

Rajesh Exports vs Titan vs Kalyan Jewellers: Rajesh Exports, the Indian gold exporter and retailer, which recently came under Sebi scanner for an alleged revenue discrepancy of Rs 15.15 lakh crore spanning FY21 to FY25— looks extremely stellar in terms of revenue over the last five fiscals. Revenue surged over three times reaching Rs 7.78 lakh crore in FY2026 from Rs 2.43 lakh crore in FY2022 - led by the company's gold refining and jewellery manufacturing scale.

EBITDA and net income peaked in FY2023. However, the company reported a significant fall in the two metrics since then. EBITDA compressed from Rs 1,579 crore in FY22 to Rs 107 crore in FY2026, signaling severe margin erosion despite stellar topline surge. 

On similar lines, EPS peaked at Rs 48.52 in FY2023 before falling to Rs 3.81 in FY2026, indicating stress on the profitability front despite an increase in revenue.

According to Bloomberg, the divergence between revenue growth and profitability suggests that the business is operating on very thin margins, consistent with the low-margin nature of gold trading and refining. Revenue figures for Rajesh Exports are huge due to the pass through nature of gold trading. 

The pass-through effect in gold trading refers to the direct transmission of global economic developments, central bank policies, currency movements, and geopolitical events into gold prices across international and domestic markets. As a globally traded safe-haven asset, gold reacts quickly to changes in factors such as inflation expectations, interest rates, economic uncertainty, and fluctuations in the US dollar.

This infers the intermediary dealer serves primarily as a facilitator, connecting buyers directly with the broader wholesale bullion market rather than supplying metal from its own inventory. The dealer mirrors real-time market pricing and coordinates trade execution on behalf of the customer.

When it comes to comparison with peers, Rajesh Exports leads in topline by a wide margin, due to its bullion/refining pass-through model rather than value-added retail. 

In terms of profitability, Titan and Kalyan offer a more accurate and meaningful comparison. 

Margin profile 

Among the three firms, Titan delivered the highest profitability, with EBITDA margins typically ranging between 10% and 13%. The superior margin profile is supported by its strong brand equity, premium positioning, and diversified portfolio spanning jewellery, watches, eyewear and other lifestyle products.

Kalyan Jewellers generates comparatively lower EBITDA margins of around 6% to 8%, which is in line with the economics of a large-scale jewellery retail business where competition and inventory costs tend to cap profitability.

In contrast, Rajesh Exports saw a sharp fall in margins, with EBITDA profitability declining to nearly negligible levels. EBITDA margin stood at approximately 0.01% in FY2026, highlighting the challenges associated with its low-margin bullion and gold refining-focused business model.

Profitability trajectory

Titan and Kalyan logged a consistent growth in net income, with Titan reaching Rs 5,069 Cr and Kalyan Jewellers logging Rs 1,350 Cr in FY2026. Rajesh Exports' net income fell sharply from its FY2023 peak of Rs 1,432 crore to a mere Rs 112 crore in FY2026.

EPS trend

Titan saw its EPS growing steadily to hit Rs 57.19 in FY2026. Kalyan's EPS compounded strongly from Rs 2.18 in FY2022 to Rs 13.08 in FY26. However, Rajesh Exports' EPS fell from a peak of Rs 48.52 (FY2023) to Rs 3.81 (FY2026).

Conclusion 

Titan and Kalyan are structurally stronger than Rajesh Exports on a quality-of-earnings basis. Both are significantly more profitable businesses with improved earnings trajectories despite Rajesh Exports operating on a vastly larger revenue scale.