Kolkata : Kalyan Jewellers India Limited’s consolidated revenue grew by 109 per cent in Q1FY22 compared to Q1FY21, primarily driven by robust sales momentum across stores both prior
to and post lockdowns in the recently concluded quarter, as well as a low base in the last financial year.
While the India revenue grew by 94 per cent, Middle East growth was 183 per cent.
Total revenue for the quarter was Rs. 1,637 Cr, compared to a total revenue of Rs 782 Cr for the same period during the previous financial year.
At a consolidated level, the company recorded Earnings Before Interest and Tax (EBIT) of Rs 11 crore for the quarter compared to Rs. 68 lakh in the same quarter of the previous year.
The consolidated loss for the quarter was Rs. 51 Cr as against Rs 86 Cr in Q1FY21.
The robust momentum that the company witnessed at the start of the current financial year slowed down once lockdowns and restrictions were imposed by various State governments in the last few weeks of April.
Following the second wave of COVID-19, most stores remained closed during the month of May.
In June, Kalyan witnessed strong momentum in the stores that were open.
The company recorded a 68 per cent same store sales growth (excluding revenue from gold savings schemes) for June 2021 as compared to the prior year, adjusted for store operational days in both periods.
In the Middle East, almost all the showrooms remained operational through the recently concluded quarter and the region witnessed a strong recovery in April, similar to the recovery levels witnessed during Q4FY21.
However, on the back of a peaking second wave of COVID-19 in India, there have been temporary disruptions to business in the region driven largely by the travel restrictions imposed between India & Middle East, as well as muted consumer sentiment amongst Indian expats in the region.
The e-commerce division Candere has continued its growth momentum. The revenue for the
recently concluded quarter was Rs. 24 Cr versus Rs 5 crore in Q1-FY21, a growth of 363 per cent.
The company recorded a PAT of Rs 31 lakh compared to a loss of Rs 1.08 crore for the same
period of the last financial year.
The Company’s retail footprint is spread across 146 stores in 21 Indian states and 4 countries in
the Middle East, with a retail area exceeding 500,000 sq. ft.
The company added 9 new stores in the recently concluded quarter – 4 in Tamil Nadu, 3 in
Telangana and 1 each in Gujarat & Kerala.
Ramesh Kalyanaraman, Executive Director, Kalyan Jewellers India Limited, said, “The outcome
of the first quarter has been above our expectations and we are happy with the overall performance.
The pace of demand recovery witnessed in the just concluded quarter was higher than what we experienced in Q1FY21, and the momentum in the stores that were operational was similar and comparable to that in Q4FY21. The compulsory hallmarking move by the Government will play a significant role in transforming the sector and making it more transparent, while also accelerating
the shift from unorganised to organised. The organised players in our sector have significant
tailwinds and we are well positioned to address this opportunity.”
UNI
