India's Tribhovandas Bhimji Zaveri posts over three-fold surge in Q4 profit

Tribhovandas Bhimji Zaveri

24/05/2023 14:59

BENGALURU, May 24 (Reuters) - Indian jeweller
Tribhovandas Bhimji Zaveri  TBZL.NS  reported a more than
three-fold rise in fourth-quarter profit on Wednesday on a drop
in expenses and strong sales. 
    The company said its consolidated net profit rose to 117.3
million rupees ($1.4 million) for the quarter ended March 31,
from 36 million rupees a year earlier. 
     Gold prices rose sharply in the second half of the
January-March quarter, backed by the wedding season and the
impending Akshaya Tritiya festival, considered auspicious for
investments in the yellow metal, in April.
    Analysts expect gold prices to stay near all-time highs in
the coming months as central banks stop raising interest rates
and investors buy bullion as a hedge against economic
uncertainty.
    The Mumbai-based jeweller's total revenue had risen between
6% and 199% in the prior three quarters, rising nearly 8% in the
January-March quarter. 
    Its margins for earnings before interest, tax, depreciation
and amortisation (EBITDA) surged to 6.51% from 3.58% a year
earlier, aided by an over 22% drop in raw materials costs which
constitute more than 63% of the total expenses.
    The company's shares settled unchanged from their previous
close ahead of the results. 

($1 = 81.7800 Indian rupees)
    

 (Reporting by Ashna Teresa Britto; Editing by Sohini Goswami)
 ((AshnaTeresa.Britto@thomsonreuters.com;))