Kalyan Jewellers share price cracks 10% on block deals buzz

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In the first hour of trading on Tuesday, shares of Kalyan Jewellers India fell more than 10% to 105 rupees a share amid block deals rumours of a sizable trade involving 2.74% of the company’s stock. In the previous five trading sessions, the stock has dropped more than 8%.

According to a report from CNBC-TV18, almost 2.8 crore shares (2.74% equity) worth 312 crore changed hands on Tuesday at an average price of 108 per share. The update could not be independently verified by Mint.

Kalyan Jewellery India announced an over 10% increase in consolidated profit after tax (PAT) at 148 crore for the quarter ending December 31, 2022 (Q3 FY23). The jewellery retailer’s net profit during the quarter from October to December of the prior fiscal year was 134.5 crore rupees.

Consolidated revenue for the company increased by 13% in the reported quarter to $3,884 crore from $3,435 crore in the same quarter last year. The business declared during the recently ended quarter that it would be opening 52 showrooms in 2023.

“Despite the continuing rise in the price of gold, we are still witnessing strong growth in revenue and customer traffic across all markets. Over the past three to four months, we have spent a considerable amount of time and energy developing our internal resources as part of this approach. We have engaged 900 people, the most in a quarter in the company’s history, mostly for the more than 20 showrooms we intend to open before Akshaya Tritiya “Ramesh Kalyanaraman, the executive director of Kalyan Jewellers India, stated in the earnings statement.