Kalyan Jewellers India Limited’s consolidated revenue grew by 61 percent in Q2FY22 compared to Q2FY21. The revenue growth was broad-based across geographies with both India and international markets growing at the same pace.
Total revenue for the quarter was Rs 2889 crore, compared to a total revenue of Rs1798 crore for the same period during the last financial year. The company recorded Earnings Before Interest, and Tax, Depreciation & Amortization (EBITDA) of Rs228 crore for the quarter compared to Rs18 crore in the same quarter of the previous year. Consolidated Profit After Tax (PAT) for the quarter was Rs69 crore as against a loss of Rs136 crore in Q2FY21.
The revenue growth in India was approximately 61percent during the recently concluded quarter as compared to the same period in the previous year. This was despite the fact that there were lockdown related disruptions in showroom operations during the recently concluded quarter in one of our key markets, Kerala. Showrooms in Kerala resumed full operations only by the second week of August.
Total standalone revenue for the company in India, for the recently concluded quarter was Rs2,503 crore, as against Rs1,556 crore for the same period in the previous year.
The Same Store Sales Growth (SSSG) in Non-South markets was 72 percent compared to the Southern markets, which had an SSSG of 44 percent. This differential was predominantly due to COVID-19 related closures of showrooms in Kerala during the recently concluded quarter. The overall SSSG in India during the quarter was 52 percent.
The India operations recorded Earnings Before Interest, Tax, Depreciation & Amortization (EBITDA) of Rs201 crore for the quarter compared to Rs147 crore in the same quarter of the previous year. PAT for the quarter was Rs68 crore as against Rs29 crore in Q2FY21.
In the Middle East, we witnessed a significant improvement in customer sentiment during the quarter, resulting in a revenue growth of 61 percent as compared to the same quarter during the prior year. This, despite the continuing travel restrictions between India and the region, for most parts of the recently concluded quarter. Total revenue from the Middle East operations for the recently concluded quarter was Rs360 crore as against Rs224 crore for the same period in the previous year.
The growth was largely same store sales driven since we did not add any new showrooms in the region during the last 12 months. The Middle East region contributed approximately 12 percent to the overall consolidated revenue of the company. The Middle East operations recorded Earnings Before Interest, Tax, Depreciation & Amortization (EBITDA) of Rs26 crore for the quarter compared to a loss of Rs132 crore in the same quarter of the previous year. PAT for the quarter was Rs35 lakhs as against a loss of Rs165 crore in Q2FY21.
The e-commerce division Candere has continued its growth momentum. The revenue for the recently concluded quarter was Rs32 crore versus Rs22 crore in Q2-FY21, a growth of 47 percent. The company recorded a PAT of Rs54 lakhs compared to a PAT of Rs1 crore for the same period of the last financial year.
Presently, the Company’s retail footprint is spread across 150 stores in 21 Indian states and four countries in the Middle East.
Executive Director, Kalyan Jewellers India Limited, Ramesh Kalyanaraman, said: “The Company’s performance during the recently concluded quarter has been very strong and we remain confident of the current quarter given the continued easing of COVID-19 related restrictions as well as the return of buoyancy in consumer sentiments across markets. We are witnessing a continuation in revenue momentum that had started around the same time last year and are encouraged by the trends that we are seeing in our operating performance.”
