PC Jeweller reports Q4 net loss of Rs 38 crore
Jul 1, 2020
PC Jeweller Ltd reported a net loss of Rs 38 crore ($5.1 million) for the fourth quarter ended March 2020, as against a net loss of Rs 392 crore it had posted in the year-ago period.
The company’s sales for the quarter under review was down 59 percent to Rs 915 crore, as compared to Rs 2,248 crore it had reported in the corresponding period last year.
For the financial year 2019-20, PC Jeweller’s net profit rose to Rs 83 crore, as against Rs 1 crore during the previous year ended March 2019, while sales declined 40 percent to Rs 5,207 crore as against Rs 8,680 crore during the previous year.
Commenting on the results, PC Jeweller said: “March is a very crucial one for the company from the sales viewpoint. This is a peak marriage month and the festival of Navratras also falls during this period. However, the fourth quarter of FY 20 was an exceptional one when almost the complete last month was lost on account of the Covid scare followed by the lockdown. The spreading scare of Coronavirus started impacting consumer footfalls and sales adversely right from the first week of March and there was a complete shutdown of operations from 22nd of March onwards.
“The new FY has started with the spread of Covid pandemic all over the country and a substantial loss of business on account of lockdown. At the same time, the past experience shows that in India jewellery demand especially wedding jewellery demand can get deferred but not cancelled. The company is therefore very confident that it can make up for the loss of Q1 sales in the subsequent quarters,” it added.
The New Delhi-based PC Jeweller Limited started operations in April 2005. Currently, it is running 73 owned and 11 franchise stores across the country.
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