CaratLane posts ₹4,690 crore FY26 revenue as diamond jewellery demand gains pace

The Titan-owned jewellery retailer grew revenue nearly 18% in FY26, operates 381 stores across 160-plus cities and towns, and has nearly tripled manufacturing capacity at its Chennai facility.

— Source publishedWed, 29 Jul, 2026, 20:51 IST·First seen Wed, 29 Jul, 2026, 20:58 IST·Source The Hindu BusinessLine

What happened

CaratLane says diamond jewellery demand is gaining momentum in India, aided by younger consumers and low category penetration. The Titan-owned retailer reported

Key facts

  • India processes nearly 90% of the world's diamonds
  • India is the world's second-largest diamond consumer
  • Diamond jewellery penetration in India is 10-12%
  • India has a 12% global diamond market share
  • United States share: 53%
  • China and Japan shares: 5% each
  • India's natural diamonds market: about $8 billion
  • India's jewellery market: $80-$90 billion
  • Natural diamond-studded jewellery contributes over 90% of CaratLane sales
  • FY26 revenue: ₹4,690 crore
  • FY26 revenue growth: nearly 18% from FY25
  • 381 stores
  • Presence in over 160 cities and towns
  • Chennai manufacturing capacity increased nearly 3x

Why this matters

Titan’s CaratLane platform demonstrates the strategic value of scalable, youth-focused diamond jewellery retail, raising the appeal of acquisitions or partnerships that add design, digital reach or regional distribution.

What to watch

  • Quarterly same-store sales growth versus new-store-led revenue growth.
  • Store count, payback periods and sales per square foot in newer cities.
  • Gross-margin movement amid gold-price volatility, diamond input costs and promotional intensity.
  • Manufacturing-capacity utilisation and inventory turns at the Chennai facility.
  • Growth in diamond-jewellery mix, average transaction value and repeat-customer rates.
  • Competitive pricing and expansion by Tanishq, Kalyan Jewellers, Malabar Gold and digital-first jewellery brands.
  • Accelerate store additions in tier-2 and tier-3 cities while using Titan's sourcing, mall and customer-data advantages.
  • Expand low-ticket, everyday-wear and occasion-led diamond collections targeted at younger buyers.
  • Increase omnichannel conversion through digital discovery, appointment booking, virtual try-on and store-assisted fulfilment.
  • Use added Chennai capacity to shorten replenishment cycles, widen regional assortments and reduce stock-outs.
  • Push loyalty, exchange and upgrade programs to turn first-time diamond buyers into repeat customers.

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