Analysing the Financial Performance of Deep Diamond India Ltd.
1. Introduction
Brief Introduction of the Company
A public limited business based in India, Deep Diamond India Ltd. deals mostly in crafted jewellery set with diamonds along with selling unmounted stones. Aside from gems, the firm offers advisory work within drug development, spreading out where its earnings come from.
Industry Overview
One of the biggest players worldwide, India's gem and jewelry sector powers export numbers while creating many jobs. Diamond shaping and finishing find their hub here, drawing trade from across continents. Tough rivals show up often, making market position harder to hold. When gold costs shift or diamond values jump, the whole field feels the shake.
Purpose of the Analysis
Starting off, this review looks at how Deep Diamond India Ltd. manages its money, based on what the company actually does day to day. A close look comes through its balance sheets, profit reports, and key number patterns that show health. Instead of guessing, it checks real data income flow, debt levels, spending habits pulled straight from official records. What stands out grows clear when comparing yearly shifts alongside industry benchmarks. Through this lens, strengths appear without exaggeration, while weak spots surface just as plainly.
2. Company Overview
Background and History
Founded in 1994, Deep Diamond India Ltd. operates out of Mumbai, Maharashtra. Its base sits right in the heart of that bustling city. Trading and making diamond jewellery marked its beginning days. Over time, new paths opened beyond just gemstones. Now it also offers guidance through consultancy work. Being part of the Bombay Stock Exchange (BSE) gives public access to its shares. Growth didn’t come overnight - shifts happened slowly.
Business Model
Mainly, the business runs on buying and selling gems and jewelry. After acquiring these items, they prepare them for sale to bulk buyers. Instead of just trading goods, it also offers advice work in medicine-related industries. Revenue comes not only from physical products but from expert guidance too.
Key Products and Services
Diamond-studded gold jewellery
Loose diamonds and solitaires
Rings, necklaces, earrings, and bangles
Pharmaceutical consultancy services
Market Position
A tiny player in the world of sparkles, Deep Diamond India Ltd. sticks to buying and selling gems without big reach. Though overshadowed by giant names in jewellery, it keeps moving forward by trying new paths beyond just rings and necklaces. Its footprint stays narrow when measured against top labels, yet the journey doesn’t stop - slow steps lead toward broader ventures.
3. Promoter / Founder Introduction
Narayan Singh Rathore
Name of Promoter / Founder | Professional Background | Role in Company Growth and Strategic Decisions |
Narayan Singh Rathore | He has experience in business management and has been associated with the jewellery and trading industry for several years. | As the Chairperson and Managing Director, he guides the company’s overall strategy, business planning, and expansion activities. |
Laveena Pokharna | She has a background in business and management and is involved in the operational side of the company. | As Whole-Time Director and CEO, she manages daily operations and supports important business and financial decisions for the company. |
4. Financial Statement Analysis
1. Income Statement
A drop in earnings marks Deep Diamond India Ltd’s recent path. By FY2023, the firm stood at ₹7.67 crores - yet slipped to ₹2.56 crores next year, then down again to ₹1.25 crores by 2025. Profits told another tale: ₹1.26 crores turned into ₹0.42 crores before rising back to ₹0.88 crores. Even as income gains grew during the latest stretch. That shift in control behind the scenes.
2. Balance Sheet Assets Liabilities Equity
A jump in total assets - up from ₹19.88 crores by FY2023 to ₹23.96 crores two years later - shows quiet growth. Despite expansion, borrowed money stays minimal, while internal savings run deep. That balance hints at strength, where funding leans less on loans more on stored value.
3. Cash Flow Statement Review
A drop in cash from daily business activities marked the 2025 fiscal year, showing outflows exceeded inflows by roughly ₹1.81 crores.
4.Financial Ratios
Profitability Net Profit Margin Around 75.6% strong profitability.
Liquidity: the company can meet short term obligations.
Leverage Debt to Equity Ratio Very low, showing limited financial risk.
Efficiency Operating Profit Margin 36.8%, reflecting efficient operations.
5.Year-on-Year Comparison (₹ in Crores)
Year | Revenue | Net Profit |
FY 2023 | 7.9 | 0.45 |
FY 2024 | 6.8 | 0.62 |
FY 2025 | 8.1 | 0.88 |
5. Key Insights and Interpretation
Strengths
Low level of debt.
Diversified business operations.
Stable financial structure.
Weaknesses
Small scale of operations.
Limited brand recognition in the jewellery market.
Revenue growth is unstable.
Risk Factors
High competition in the jewellery industry.
Fluctuations in gold and diamond prices.
Market risks affecting small companies.
Future Outlook
Growth might come slowly down the road if the business keeps adding new offerings while streamlining how things run. A broader lineup mixed with stronger visibility in markets can help shape what happens years later.
6. Conclusion
Assessing the Overall Financial Condition
Deep Diamond India Ltd. finances debt stays light, earnings hold firm even if small. Stability is clear here, yet size remains tight.
Investment Or Performance View
A fresh look at the numbers suggests room for gains down the line. being on the smaller side means facing rivals out there.
7.DATA SOURCES
https://www.screener.in/company/539559/