Gold jewelry retailers likely to grow revenue 23-25%, Retail News, Retail ET
Be held yellow jewelry retailers will continue to report strongly revenue growth this financial year, driven by pent-up demand and recovery in discretionary spending, with higher performance, according to Crisis Rating.
The ratings firm is predicting jewelers to post 23-25% revenue growth in fiscal year 2023, on top of 36% growth in the pre-comparison financial year supported by the low base of fiscal year 2021 due to the raging pandemic.
However, revenue expansion will moderate at 8-12% next fiscal year, with a higher basis for this fiscal year and expectations of slower disposable income growth amid an economic downturn. sure.
Against this backdrop, operating margins will decline by 0.4-0.7 percentage points year-on-year as store-related and marketing costs increase and stabilize at pre-pandemic levels. is 6.7-7.0% in this fiscal year and the following year.
crisis The ratings’ projections are based on research on 76 gold jewelry retailers, accounting for 33% of the organized sector’s total annual sales of ₹3.5 lakh. The credit outlook for these players is considered stable. For the record, the organized sector accounts for almost a third of the market.