Shares of Kalyan Jewellers Ltd. experienced a decline of over 4% following their Q4 business update released on Monday. By 10:55 AM on April 7, the stock was priced at ₹470 on the National Stock Exchange (NSE). Despite this dip, the company reported impressive growth in its operations, particularly in India, where revenue surged by approximately 39% year-over-year, driven by robust wedding demand.
Strong Performance in India
Kalyan Jewellers highlighted a remarkable same-store sales growth (SSSG) of around 21% during the March quarter. This increase showcases the brand’s strong market presence and the ongoing demand for jewellery, especially during the wedding season.
- Revenue Growth: 39% increase in Q4 compared to the previous year
- Same-Store Sales Growth: Approximately 21% during the same period
Expansion Plans
In a strategic move, Kalyan Jewellers launched 25 new showrooms across India in the fourth quarter, with an additional three opening in the first week of April 2025. This expansion aligns with the company’s strategy to solidify its presence in the market and cater to growing consumer demand.
Middle East Market Insights
The company also reported a notable 24% revenue growth in the Middle East, primarily due to strong same-store sales. This region contributed about 12% to Kalyan’s overall consolidated revenue, reinforcing the brand’s international reach.
Candere’s Performance
On the flip side, Kalyan’s digital-first jewellery brand, Candere, faced challenges with a revenue decline of 22% year-on-year. Despite this setback, Kalyan opened 14 new Candere showrooms during the review period, indicating a commitment to expanding its digital footprint.
Future Outlook
Looking ahead to FY 2026, Kalyan Jewellers plans to open 170 new showrooms across both Kalyan and Candere formats. This includes:
- 75 franchise-owned company-operated (FOCO) Kalyan showrooms in non-southern India
- 15 FOCO Kalyan showrooms in southern India and international markets
- 80 Candere outlets throughout India
The company has already signed letters of intent for the FOCO showrooms, laying the groundwork for future growth.
Positive Trends Ahead
Kalyan Jewellers remains optimistic about the current financial quarter. The company noted positive trends in advance bookings for Akshaya Tritiya and various wedding purchases during the festive season.
- Positive Indicators: Encouraging trends in advance collections for Akshaya Tritiya and wedding-related purchases
In their exchange filing, Kalyan Jewellers expressed their enthusiasm: “We are upbeat about the ongoing quarter and are witnessing encouraging trends in advance collections for both Akshaya Tritiya as well as for wedding purchases for the festive/wedding season.”
This combination of strategic expansion and strong sales growth positions Kalyan Jewellers for a promising future despite the recent fluctuations in share prices.
