Thangamayil Jewellery Ltd reports Q2 net loss of Rs 17 crore

Thangamayil Jewellery Ltd, a leading jewellery retailer reported a net loss of Rs 17 crore ($2 million) for the second quarter ended September 30, as against a net profit of Rs 8 crore in the same quarter last year.

However, the company’s revenue for the quarter rose by 19 percent to Rs 1,178 crore driven by a rise in retail sales, as against Rs 992 crore in the corresponding quarter of the previous fiscal year.

Thangamayil attributed the loss to adverse impact of rising expenses and inventory adjustments on the company’s financials.

“The company does not expect any adverse customs duty under recovery on realisation in the third quarter due to the steep increase in gold price prevailing in the third quarter,” Thangamayil Ltd said in a statement.

“Large scale expansion is planned over the next two years which includes addition of 7 new retail outlets in the fourth quarter of the financial year 2024-25,” it added.

During the first half of the current fiscal year, the company opened outlets in Rameswaram and Mayiladuthurai taking its total retail store count to 59 as of September 30, 2024.