International Gemmological Institute, popularly known as IGI, is one of the leading global companies involved in the certification and grading of diamonds, jewellery, and gemstones. The company mainly provides certification services for natural diamonds (ND), lab-grown diamonds (LGD), diamond jewellery, and coloured gemstones.
What is the Business of IGI?
The company’s business model is quite simple but highly scalable. Whenever a diamond or jewellery product is manufactured, retailers and customers often require certification to verify its authenticity and quality. IGI helps in this process by examining and grading diamonds based on factors such as clarity, cut, colour, and authenticity. The company earns revenue through certification fees charged to manufacturers, retailers, and jewellery brands.
Over the last few years, the company has particularly benefited from the rapid rise of the lab-grown diamond industry, where certification demand is increasing continuously.
Strong Certification Revenue Growth
The company has delivered strong growth across its major certification businesses, especially in Natural Diamonds (ND), Lab-Grown Diamond (LGD) loose stones, and LGD jewellery.
If we compare the January–March 2026 quarter with the same quarter of the previous year, the company’s total certification revenue increased from 2,967 to 3,587, reflecting nearly 21% growth.
The largest contribution is coming from the LGD loose stones segment, whose share increased from 53.8% to 60.1%. This clearly highlights the growing demand for lab-grown diamonds across global markets. Along with that, the ND segment also maintained healthy growth, while LGD jewellery showed gradual improvement.
At the same time, the ND jewellery segment witnessed some decline in contribution, indicating that the company’s business mix is gradually shifting more towards lab-grown diamond certification.
Revenue Mix Shows Strong LGD Opportunity
Over the 15-month period, the company’s certification revenue increased from 13,041 to 15,465, showing nearly 19% growth.
| Segment | 15M 2025 Revenue Mix | 15M 2026 Revenue Mix |
| ND | 16.2% | 16.1% |
| LGD Loose Stones | 52.5% | 55.3% |
| ND Jewellery | 21.7% | 18.6% |
| LGD Jewellery | 7.1% | 7.4% |
| Gemstone & Others | 2.5% | 2.5% |
The table clearly shows that LGD loose stones remain the biggest contributor to the company’s business. The increasing share of this segment reflects the strong structural growth happening in the lab-grown diamond market.
Another positive point is that the company managed to maintain healthy growth despite a slight decline in ASP (Average Selling Price), which fell only around 1% from 952 to 940. This indicates that the company’s revenue growth is being driven more by higher demand and strong business volume rather than aggressive pricing.
Strong Financial Performance Reflects Efficient Management
The company has also delivered impressive financial growth during the 15M 2026 period.
- Number of certification reports increased from 12.1 million to 14.6 million
- Certification revenue increased from 9,969 to 12,339
- EBITDA increased from 7,540 to 9,198
- PAT increased from 5,785 to 7,215
One of the most impressive factors is the company’s profitability. EBITDA margins remained extremely strong at around 73%, while PAT margins improved from 56.7% to 57.6%.
Maintaining such high profitability margins while continuously growing revenue reflects strong operational efficiency and disciplined management execution. The company appears to be scaling its business without significantly impacting profitability, which is a major positive sign for long-term growth.
Lab-Grown Diamond Industry Creating Massive Opportunity
One of the biggest reasons behind the company’s strong future outlook is the rapid expansion taking place in the global lab-grown diamond industry.
Over the last few years, LGD production capacity has increased significantly. Industry production capacity has grown from less than 0.2 million carats in 2008 to nearly 35–45 million carats during 2023–2024. This reflects the massive adoption of lab-grown diamonds globally.
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At the same time, Indian manufacturers are continuously increasing their production capacity through higher CVD reactor investments.
| Year | Number of CVD Reactors |
| 2022 | 6–6.5k |
| 2024 | 8–9k |
| 2025 | 10–11k |
| FY2026E | 13–14k |
This continuous investment by manufacturers clearly shows strong confidence in future industry demand. As production capacity rises, the need for certification services is also expected to increase, which directly benefits companies like IGI.
Another positive point is that industry utilization levels remain healthy at around 65–70%, indicating that the expansion is currently supported by real demand instead of excessive overcapacity.
Is IGI Certification Real?
IGI certification is globally recognized and considered trusted within the diamond industry. The company provides grading reports after professionally examining diamonds and jewelry products.
The certification generally includes details such as:
- Carat weight
- Colour grade
- Clarity grade
- Cut quality
- Shape and dimensions
- Natural or lab-grown identification
Because of this, many retailers, jewellery brands, and customers rely on IGI certifications to verify product authenticity and quality.
Future Outlook of IGI
The company appears to be well-positioned for long-term growth due to multiple strong factors working in its favour.
The rapid expansion of the lab-grown diamond industry, increasing global acceptance of certified diamonds, rising production capacity, and growing demand for certification services are creating a strong long-term opportunity for the company.
At the same time, the management has shown strong execution capabilities by maintaining high profitability margins while continuously expanding revenue and certification volumes.
Overall, the company is benefiting from both industry tailwinds and efficient business execution, which creates a positive long-term outlook for the business.
Is IGI Share a Good Buy?
IGI is benefiting from the fast-growing lab-grown diamond industry, strong certification demand, healthy profitability, and global expansion. However, investment decisions also depend on valuation, industry demand, and future business growth.
What Does the IGI Company Do?
The company examines and certifies diamonds and jewellery products by checking their quality, clarity, colour, cut, and authenticity. It serves manufacturers, retailers, and jewellery brands globally.