Kalyan Jewellers India's Q3 profit rises on strong festive-season demand

Tribhovandas Bhimji Zaveri

31/01/2024 07:15

BENGALURU, Jan 31 (Reuters) - Kalyan Jewellers India
 KALN.NS  reported a near 22% rise in its third-quarter profit
on Wednesday, lifted by festive season-fuelled demand across
India and the Middle East markets.
    The company's consolidated net profit rose to 1.81 billion
rupees (about $22 million) in the October-December quarter, from
1.49 billion rupees a year earlier.
    Its India sales jumped 40%, led by robust same-store-sales
growth, Kalyan said earlier this month, as it rolled out offers
during the quarter that included the Diwali and Christmas
festivals.
    India, the world's second-biggest consumer of the yellow
metal, ramped up purchases of gold, sending imports up 60% in
October to meet the festive demand.
    The Thrissur, Kerala-based company added that its Middle
East operations saw a 6% volume growth.
    However, its total cost of materials consumed rose nearly
35%, owing to a jump in gold prices.
    Kalyan, which has 235 stores across India and the Middle
East, said it plans to add 15 showrooms in India, two in the
Middle East and enhance the presence of its online store,
Candere.
    Its rivals Tribhovandas Bhimji Zaveri  TBZL.NS  and Tanishq
jewellery brand owner Titan  .TITN.NS  are yet to report
results.
 
 ($1 = 83.0625 Indian rupees)

 (Reporting by Ashna Teresa Britto in Bengaluru; Editing by
Sherry Jacob-Phillips)
 ((AshnaTeresa.Britto@thomsonreuters.com;))