RBZ Jewellers , a leading manufacturer of gold jewellery in India, has reported its financial results for the first quarter, showing resilience in a challenging market environment. The company, known for its antique gold bridal jewellery, maintains its full-year guidance despite a slight decline in Q1 revenue.

Q1 Financial Highlights

• Revenue from operations declined by 8% year-on-year
• EBITDA stood at INR 13.00 crores, down 8% year-on-year
• EBITDA margins improved marginally by 9 basis points to 17.20%
• PAT (Profit After Tax) was INR 7.00 crores with margins at 9.39%

Segment Performance

The company attributed 45% of the quarterly revenue decline to the pre-ponement of demand in the previous quarter, as Akshaya Tritiya fell in April this year.

Expansion Plans and Future Outlook

RBZ Jewellers is actively pursuing expansion in Gujarat, with plans to open new retail stores in Surat and Rajkot. The company's Joint Managing Director and CFO, Harit Zaveri, stated, "One store should be operational in the last quarter of this fiscal year and the other one in the first quarter of the next fiscal year."

The company maintains its full-year guidance of INR 700.00 crores in revenue and INR 45.00 crores in PAT. Looking further ahead, RBZ aims to achieve INR 1,000.00 crores in revenue in the future.

Business Strategy and Market Position

RBZ Jewellers is positioning itself as a unique player in the jewellery market with a diversified business model that includes wholesale, job work, and retail operations. The company's focus remains on antique and occasion wear jewellery, particularly in the bridal segment.

Zaveri emphasized the company's strength in manufacturing, stating, "We have a manufacturing setup and presence across both wholesale and retail segments, which allows us to garner better margins than our peers."

Recent Developments

• Participated in the IIJS exhibition in Mumbai, receiving a strong response in the B2B segment with significant advance order bookings for the upcoming festival and wedding season.
• Reported a 35% increase in walk-ins at the IIJS exhibition, indicating successful capture of new retail clients.
• The company's Instagram presence has grown to 163,000 followers, showcasing strong brand engagement on social media.

Challenges and Opportunities

While the company faces challenges such as volatile gold prices and changing consumer preferences, RBZ Jewellers remains optimistic about the occasion wear segment. Zaveri noted, "Wedding buyers show no decrease in walk-ins, and it's a compulsory purchase."

The company is also exploring opportunities in the daily wear segment, with plans to differentiate its offerings in this category during the current fiscal year.

As RBZ Jewellers continues its expansion strategy and maintains its focus on manufacturing excellence, the company appears well-positioned to navigate the evolving jewellery market landscape in India.

RBZ Jewellers , a prominent player in the jewellery sector, has released its financial results for the first quarter ended June 30, showcasing resilience in profitability despite a decline in revenue. The company has also announced the appointment of a new secretarial auditor, signaling its commitment to maintaining robust corporate governance practices.

Financial Performance

For the quarter ended June 30, RBZ Jewellers reported:

The company's revenue from operations decreased by 8.33% year-over-year to ₹7,558.29 lakhs, compared to ₹8,244.82 lakhs in the same quarter of the previous fiscal year. Despite the revenue decline, RBZ Jewellers managed to report a profit of ₹712.28 lakhs for the quarter, although this represents a 21.55% decrease from the ₹907.92 lakhs profit recorded in Q1 FY2025.

Operational Highlights

RBZ Jewellers continues to operate in a single business segment of jewellery products. The company's ability to maintain profitability in the face of reduced revenue highlights its effective cost management and operational efficiency.

Corporate Governance Update

In a significant move to strengthen its corporate governance framework, RBZ Jewellers' board of directors has approved the appointment of M/s. Vasant Patel & Associates as the company's Secretarial Auditors. The appointment is subject to shareholder approval at the upcoming Annual General Meeting. Key details of the appointment include:

• Term: Five years, from the 17th to the 22nd Annual General Meeting
• Audit Period: Financial Years 2026 to 2030
• Firm Profile: Established in May 2001, M/s. Vasant Patel & Associates is a practicing company secretarial firm with expertise in various corporate law matters and regulatory compliance.

Management Commentary

Rajendrakumar K. Zaveri, Chairman and Managing Director of RBZ Jewellers Ltd., commented on the results, stating, "While we faced some headwinds in revenue this quarter, our focus on operational efficiency has allowed us to maintain a strong profit margin. The appointment of M/s. Vasant Patel & Associates as our secretarial auditors underscores our commitment to upholding the highest standards of corporate governance."

Looking Ahead

As RBZ Jewellers navigates the dynamic jewellery market, the company's ability to maintain profitability despite revenue challenges demonstrates its resilience. The focus on strengthening corporate governance through the appointment of experienced secretarial auditors signals the company's proactive approach to regulatory compliance and transparency.

Investors and stakeholders will be watching closely to see how RBZ Jewellers leverages its operational strengths and governance practices to drive growth in the coming quarters.