P N Gadgil Jewellers Posts Impressive Q3 FY25 Results with 49% YoY Profit Surge

Introduction:

P N Gadgil Jewellers has reported a stellar financial performance for Q3 FY25, with consolidated net profit soaring 49.36% year-on-year (YoY) to Rs 86.03 crore, compared to Rs 57.60 crore in the same quarter last year. This significant growth comes as the company continues to gain momentum, fueled by robust retail sales and a surge in e-commerce and franchise revenue.

Strong Revenue Growth

The company’s revenue from operations also experienced a solid uptick, rising by 23.51% YoY to Rs 2,435.75 crore for Q3 FY25. This growth was largely driven by the retail segment, which saw a remarkable 41.8% rise in sales to Rs 1,878.8 crore, accounting for 77% of total revenue.

Additionally, the e-commerce segment posted a standout performance with revenue surging 97.9% YoY to Rs 70.5 crore, while franchise revenue saw a significant increase of 86.6%, reaching Rs 226.4 crore.

EBITDA and Profitability Show Strong Improvement

P N Gadgil’s Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) reached Rs 129.77 crore, a 37.2% increase from Rs 94.58 crore in Q3 FY24. EBITDA margins also expanded slightly, rising to 5.3% from 4.8% in the same quarter last year. The company’s efficiency at the store level remains high, with revenue per store hitting approximately Rs 127.2 crore, and net profit per store increasing to Rs 3.25 crore.

P N Gadgil Jewellers Soars with 49% Profit Growth in Q3 FY25, Driven by Retail and E-commerce Expansion:

Continued Expansion and Robust Same-Store Sales Growth

P N Gadgil’s Chairman & Managing Director, Dr. Saurabh Gadgil, attributed the stellar Q3 results to strong customer trust and an enhanced retail presence. With a record-high monthly revenue, robust same-store sales growth (SSSG) of 25.7%, and increased customer engagement, the company remains focused on expanding its offerings and footprint.

In a bold expansion move, P N Gadgil launched nine new showrooms across nine consecutive days during the Navratri festival, pushing its store count to 48, with plans to reach 53 by Q4 FY25.

Strong Market Position and Diversified Product Portfolio

As of January 2024, P N Gadgil holds the position of the second-largest jewellery player in Maharashtra in terms of the number of stores. The company offers a wide range of precious metal and jewellery products, including gold, silver, platinum, and diamond jewellery, catering to various customer segments. Its products are sold under the flagship brand PNG, along with several sub-brands, across a diverse array of sales channels, including retail stores, online marketplaces, and its own website.

Conclusion:

P N Gadgil’s exceptional third-quarter results, driven by strong growth across all segments, have positioned the company for sustained success in the coming quarters. The continuous focus on expanding its retail presence, growing e-commerce sales, and enhancing

Frequently Asked Questions FAQ:

1. What were P N Gadgil Jewellers’ key financial results for Q3 FY25?

For Q3 FY25, P N Gadgil Jewellers reported a net profit of Rs 86.03 crore, marking a 49.36% increase from Rs 57.60 crore in Q3 FY24. The company’s revenue from operations also surged 23.51% YoY to Rs 2,435.75 crore, driven primarily by strong growth in the retail and e-commerce segments.

2. What factors contributed to the growth in P N Gadgil’s Q3 FY25 performance?

Key contributors to the growth include:

  • Retail Segment: A 41.8% rise in retail revenue, which accounted for 77% of total sales.
  • E-commerce Growth: A remarkable 97.9% increase in e-commerce revenue.
  • Franchise Performance: Franchise revenue grew by 86.6%.
  • Same-Store Sales Growth (SSSG): The company achieved strong SSSG of 25.7%, reflecting continued customer engagement and loyalty.
  • Successful Expansion: The launch of nine new showrooms during Navratri 2024, bringing the total number of stores to 48, with plans to reach 53 by Q4 FY25.

3. How did P N Gadgil Jewellers improve its profitability in Q3 FY25?

The company posted an impressive 37.2% growth in EBITDA, reaching Rs 129.77 crore, up from Rs 94.58 crore in Q3 FY24. EBITDA margins also improved to 5.3% from 4.8% during the same period last year, reflecting increased operational efficiency.

4. What was the performance of P N Gadgil’s e-commerce and franchise segments in Q3 FY25?

  • E-commerce: The segment experienced substantial growth, with revenue jumping 97.9% to Rs 70.5 crore.
  • Franchise: Revenue from the franchise segment grew by 86.6%, reaching Rs 226.4 crore.

5. How has P N Gadgil performed at the store level?

P N Gadgil achieved strong efficiency at the store level, with:

  • Revenue per store: Approximately Rs 127.2 crore.
  • Net profit per store: Rs 3.25 crore.

These numbers reflect the company’s solid retail strategy and operational effectiveness.

6. What is the company’s outlook for the rest of FY25?

P N Gadgil plans to continue its growth trajectory by expanding its retail footprint, focusing on further strengthening e-commerce, and increasing its franchise network. The successful launch of new showrooms and robust same-store sales growth positions the company well for continued momentum.

7. How many stores does P N Gadgil Jewellers have as of January 2024?

As of January 2024, P N Gadgil Jewellers is the second-largest jewellery player in Maharashtra in terms of the number of stores, with 48 locations. The company is targeting 53 stores by the end of Q4 FY25.

8. What types of products does P N Gadgil offer?

P N Gadgil Jewellers offers a wide variety of precious metal and jewellery products, including:

  • Gold
  • Silver
  • Platinum
  • Diamond jewellery

These products are available in various price ranges and designs to cater to diverse customer needs.

9. Through which channels does P N Gadgil sell its products?

P N Gadgil’s products are sold across multiple channels, including:

  • Retail stores
  • Online marketplaces
  • The company’s own e-commerce website

This diversified approach allows the company to reach a wide customer base.

10. How does P N Gadgil’s performance reflect its customer engagement strategy?

P N Gadgil’s strong Q3 performance, including a 25.7% growth in same-store sales, highlights the company’s success in fostering strong customer trust and engagement. By continuously enhancing its offerings, expanding its retail presence, and ensuring high-quality products, P N Gadgil has built lasting relationships with its customers.

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