PC Jewellers Q2 net profit jumps 41% to Rs151 crore
New Delhi: PC Jewellers on Monday posted a 40.83% jump in standalone net profit at Rs150.59 crore for the quarter ended September on strong sales.
Net profit was Rs106.93 crore in the same period of the previous year, the company said in a regulatory filing. Total income increased by 18.78% to Rs2,642.98 crore in July-September of 2017-18, from Rs2,225 crore in the year-ago period. Revenue from domestic sales rose by 30.10% to Rs1,850.96 crore in the period under the review, from Rs1,422.70 crore a year earlier, while that of exports increased marginally by 5.41% to Rs771.36 crore, from Rs731.91 crore previously.
Expenses remained slightly higher at Rs2,425.15 crore in the second quarter as against Rs2,072.34 crore in the year-ago period. Terming the roll-out of the goods and services tax (GST) as a major structural change, the company said it has resulted in a major “disruption” for unorganized players in all the sectors of the economy.
However, its impact is seen to be higher on the jewellery sector because of the much bigger percentage of the unorganized segment in this industry, it said in the filing. “Demonetisation and implementation of GST are helping us increase market share as the industry is getting organized,” it added.
PC Jewellers managing director Balram Garg said: “The company remains very bullish on growth prospects of the organized jewellery retailing in the country and PCJ is well positioned to reap maximum benefits of the same.” The company will strive to increase its market share in coming years, he added.
The stock was trading down by 3.37% at Rs364.50 on the BSE on Monday. The company is into the business of manufacturing and sale of gold jewellery, diamond-studded jewellery and silver articles.