Gitanjali Gems Limited, one of India’s leading integrated diamond and jewellery retailing and manufacturing companies announced its unaudited financial results for the half year ended 30th September, 2009. Driven by strong growth in the jewellery sales, particularly in the domestic market, the company registered a significant growth in net profit, despite the tight market conditions. This validates the effectiveness of cost control policies, and the bold, but calculated marketing and sales strategy adopted in this period.

Highlights Half Year September 09:
• Revenues increased by 24% from Rs. 2509.63 crores for the half year ended 30th September, 2008 to Rs. 3109.90 crores for the half year ended 30th September, 2009.
• Jewellery sales went up from Rs. 1206.9 crores in the previous period to Rs. 1605.4 crores in the current period, representing a 33 per cent growth.
• The share of jewellery in the total turnover went up from 48 per cent to 52 per cent.
• The share of Indian market in the total turnover went up from 36 per cent to 40 per cent.
• Despite the economic downturn, operating profits before interest and exceptional items grew from Rs 135.47 crores to Rs. 190.16 crores representing a 40 per cent growth.
• The net profit for the half year stood at Rs. 98.19 crores for the period ended 30th September, 2009, as compared to the Rs. 90.41 crores in the previous period, representing a growth of 8.60 per cent.

Others:The Company announced that it has acquired a majority stake in Spectrum Jewellery Pvt Ltd that earlier functioned as a JV. Spectrum is the owner of the Sangini brand of diamond jewellery.  

Management comment: Commenting on the results, Mr. Mehul Choksi, Chairman and Managing Director, Gitanjali Gems Limited, said, ”There is a marked change in the market conditions and consumer sentiments, and despite the impact of the global recession, the Indian market appears to be improving. Our strategy to be careful, but not to miss out on any growth opportunity has been validated and the results are a clear indication that branded jewelers is increasingly finding acceptance among the Indian jewellery consumers.“

Courtesy: Gitanjali Gems Limited

Related News:
Gitanjali Lifestyle opens GIANTTI at Atria Mall in Mumbai
Gitanjali celebrations with Salman, Bipasha, Neil & Celina
Gitanjali Gems to set up JV in association with Damas LLC
Katrina, goddess of luck for Nakshatra diamond jewellery

Related Books:
Diamonds in Arkansas:
Diamond
The Diamonds

Add a comment

Posted by Naresh Koshti on 2 November, 2009 12:41:59 PM IST #