Thangamayil Jewellery Ltd reported a consolidated net profit of ₹31.40 crore for the quarter ended March 31, 2025, registering a growth of 11.2% from ₹28.24 crore in Q4 FY24. The company’s profitability improved despite a sharp rise in material costs and marketing expenses during the quarter.
The company’s EBITDA for the March quarter stood at ₹57 crore, up 14% YoY, though EBITDA margins declined slightly to 4.33% from 5.25% a year ago, due to higher spending on brand-building, employee additions, and a temporary dip in inventory gains.
On a QoQ basis, EBITDA dropped 31% from ₹83 crore in Q3 FY25, primarily impacted by increased promotional expenses, customs duty absorption, and depreciation on new store expansions.
Key Q4 Highlights:
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Retail sales rose to ₹1,316 crore, up 38% YoY.
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Gold jewellery sales grew 39% YoY to ₹1,222 crore.
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Non-gold segment (silver, diamond, others) contributed ₹94 crore, up 27% YoY.
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Profit before tax (PBT) came in at ₹39 crore.
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EPS for the quarter was ₹10.18 vs ₹10.29 in Q4 FY24.
Full Year FY25 (YoY) Performance:
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Revenue from operations stood at ₹4,916.30 crore, up from ₹3,832.18 crore, a 28% increase.
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Net profit for FY25 came in at ₹119 crore, down from ₹123 crore last year due to increased one-time costs.
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EBITDA rose marginally to ₹225 crore from ₹218 crore YoY, but EBITDA margin dipped to 4.76% vs 5.91%.
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Inventory turnover ratio stood at 3.25x vs 3.52x in FY24.
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The company increased its hedging coverage to 96%, compared to 89% in the previous year.
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Number of retail outlets increased to 60 vs 57 YoY.
Management Commentary & Outlook:
The company noted that PBT was impacted by several one-time factors including:
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Customs duty hit of ₹15.47 crore in Q2 FY25.
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Incremental depreciation of ₹7.33 crore from expansion.
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₹2.5 crore in additional employee costs.
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Inventory hedging adjustments worth ₹13.52 crore.
Adjusting for these, normalized PBT would have been ₹223.81 crore, the management stated in the press note.
Thangamayil added three new retail outlets post-Q4 including the flagship T. Nagar outlet in Chennai and expects the contribution from these to strengthen in FY26. With liquid funds of ₹310 crore and a healthy current ratio of 1.72, the company remains optimistic about achieving stronger growth in the current year.
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