The revenue growth was mainly driven by robust operating momentum on the ground across all markets with healthy same-store-sales-growth of approximately 23%.
The growth was also attributed this to the reduction in customs duty on gold imports announced in the Union Budget, which led to significantly higher footfalls from the end of July through August. This increase in demand mostly offsets the typically quieter sales period during the 14-day Shradh season. In contrast, the base year only included two days of Shradh in the second quarter.
In Q2 FY25, the company has recorded a consolidated revenue growth of approximately 37% as compared to the same period a year ago.
During the quarter, the firm launched 15 Kalyan franchisee-owned-company-operated ‘FOCO’ showrooms in India during the recently concluded quarter, with a strong pipeline of showrooms set to open over the course of October in line with our previously communicated guidance, it added.
In the Middle East, the jewellery retailer witnessed a revenue growth of approximately 24% when compared to the same period in the previous financial year. Middle East contributed 13% to its consolidated revenue for the recently concluded quarter.
The company’s digital-first jewellery platform, Candere, recorded a revenue growth of approximately 30% during the recently concluded quarter as compared to the same period during the last year. The company has launched 12 Candere showrooms during Q2 FY25.
During the quarter, Kalyan Jewellers has launched 26 net showrooms across Kalyan and Candere formats taking the total number of showrooms as on 30 September 2024 to 303 (Kalyan India – 231, Kalyan Middle East – 36, Candere – 36).
“As part of the previously communicated plan of launching 130 and more new showrooms during the current financial year, in addition to the 51 showrooms already opened, we have drawn up plans to launch another 25 Kalyan showrooms in India, 18 Candere showrooms and the first showroom in the U.S. by Diwali. The festive season has just started and we are gearing up with showroom launches, fresh collections and campaigns,” Kalyan Jewllers stated in the press release.
Headquartered in Kerala, Kalyan Jewellers is one the largest jewellery retailers in India with a presence in the Middle East.
The company’s consolidated net profit jumped 23.69% to Rs 1775.58 crore in Q1 FY25 as compared with Rs 1,435.52 crore posted in Q1 FY24. Revenue from operations increased 26.5% YoY to Rs 55,354.79 crore in Q1 FY25.
Shares of Kalyan Jewellers India slipped 3.75% to Rs 686 on the BSE.