Thangamayil Jewellery (THANGAMAYL) Q1 24/25 earnings summary

Executive summary

• Achieved record quarterly sales of Rs. 1,220 Cr, a 27% year-over-year increase and 24% sequential growth.

• Opened new retail outlets in Rameswaram and Mayiladuthurai, bringing the total to 59.

• Despite higher gross profit, bottom-line growth was impacted by MCX hedging losses and increased expenses.

Financial highlights

• Net sales for Q1 FY25 were Rs. 1,22,033 lakh, up from Rs. 95,887 lakh in Q1 FY24.

• EBITDA remained stable at Rs. 92 Cr, but adjusted EBITDA rose 64% year-over-year to Rs. 90 Cr.

• Profit before tax was Rs. 7,719 lakh, with adjusted PBT up 79% year-over-year to Rs. 75 Cr.

• PAT for the quarter was Rs. 5,656 lakh; adjusted PAT increased 84% year-over-year to Rs. 57 Cr.

• EPS for Q1 FY25 was Rs. 20.61, nearly double the prior year.

Outlook and guidance

• Inventory write-down from the 9% import duty reduction will impact subsequent quarters, with an estimated under-recovery of Rs. 29.02 Cr.

• Flagship Chennai outlet expected to open by January 2025; additional outlets progressing as planned.