International Gemological Institute (IGI) expects its natural diamond business to deliver double-digit growth in FY27, with loose natural diamond certification volumes rising 8% year-on-year in the second quarter, even as the broader natural diamond market remains subdued.

Speaking on CNBC-TV18, Eashwar Iyer, Global Chief Financial Officer of IGI, discussed the company’s second-quarter performance and upgraded growth outlook following stronger-than-expected results in the first half of FY27.

IGI’s consolidated revenue from operations increased 31% year-on-year to Rs 398 crore in Q2 FY27, while profit after tax rose 43% to Rs 185.8 crore. Earnings before interest, tax, depreciation and amortisation (EBITDA) grew 39% to Rs 244.5 crore, with margins expanding to 61.4%.

Certification volumes increased 26% to 4.35 million reports during the quarter. Lab-grown diamond loose-stone certification grew 37%, while lab-grown diamond jewellery certification rose 47%. Natural diamond jewellery certification increased 3%, reflecting a more measured pace of growth in the segment.

For the first half of FY27, revenue from operations rose 27% to Rs 768.8 crore, while EBITDA increased 34% to Rs 468.3 crore and profit after tax grew 37% to Rs 351.6 crore.

Following the stronger first-half performance, IGI raised its full-year growth outlook. The company had previously guided for 15% revenue growth and 20% EBITDA growth for FY27. Management now expects full-year performance to continue broadly in line with the first-half growth trajectory.

The results highlight diverging growth rates across certification categories, with lab-grown diamonds recording faster expansion while natural diamond certification continues to register gains despite subdued market conditions. IGI’s performance also reflects the growing role of jewellery certification and coloured gemstone services in its broader business portfolio.