India's Kalyan Jewellers quarterly profit surges on seasonal demand

Tribhovandas Bhimji Zaveri

09/08/2023 09:26

BENGALURU, Aug 9 (Reuters) - Kalyan Jewellers India
 KALN.NS  reported on Wednesday a 33% surge in its first-quarter
profit, underpinned by premium pricing and improved demand
during the festive season.
    The jewellery retailer's profit came in at 1.44 billion
rupees ($17.39 million) for the three-month period ended June
30. 
    Demand for gold usually stays strong in April as Indians
celebrate annual festival of Akshaya Tritiya, when buying
bullion is considered auspicious. 
    The Reserve Bank of India's decision to withdraw 2,000-rupee
notes also helped jewellers charge a premium for the yellow
metal during most of the reported quarter.
    The Thrissur, Kerala-based company's revenue grew 31.3% to
43.76 billion rupees, led by a 34% increase in revenue from its
operations in India - the world's second-largest consumer of
gold.
    "The recently concluded quarter ... witnessed continued
robust momentum in both footfalls and revenue across all our
markets in India and the Middle East," Executive Director Ramesh
Kalyanaraman said in a statement. 
    Shares of Kalyan, which gained 45.2% so far this year, were
up 3.4% after the results were announced.
    Kalyan Jewellers' peer Tribhovandas Bhimji Zaveri  TBZL.NS 
posted a five-fold jump in profit, while Tanishq jewellery brand
owner Titan  TITN.NS  reported strong gold sales during the
first quarter. 


    ($1 = 82.8100 Indian rupees)

    

 (Reporting by Varun Vyas and Manvi Pant in Bengaluru; Editing
by Sherry Jacob-Phillips)
 ((varunvyas.hebbalalu@thomsonreuters.com;))