How do you review the third quarter?
It was a very good quarter with revenue growing by 17% and net profit growing by 16% to Rs 135 crore. We had a good momentum with footfalls increasing. Margin grew by almost 1% quarter-on-quarter. New customer walk-in also increased in Q3 and good shift from unorganised to the organised sector.

World Gold Council reports that jewellery sales increased by 95% YoY due to pent-up demand.
We have already surpassed the total revenue of the previous fiscal in the first three quarters itself and we are growing. Third quarter was really good. Lot of marriages have been postponed and those will happen as the Covid situation eases. Last year also, a lot of weddings happened during the January-March quarter and were extended to April. More than pent-up demand, we feel that the jewellery sector is very resilient and the come-back has been very fast.

Outlook for the fiscal?
Only 90% of the showrooms were functioning during January 2022  due to Covid and only 80% showrooms were open during weekends, when normally footfalls are seen higher. We have seen some weddings scheduled for February and March getting postponed. The resilience in the sector is very high and any demand missed during the quarter will come back in the next quarter itself. 
What about the West Asia operations?
We grew by 24% in the West Asia in the third quarter. The come-back has been slower there when compared to India. Travel disruption is the main reason for lower sales in the West Asia. Tourists buy a lot there and so do NRIs coming home for leave. For the past two quarters, there has been good momentum and margins are more than the pre-covid level.

Are people buying more gold paying higher price?
When compared year on year, gold prices have come down by 3-4% during the third quarter, but when looking at a long-term, gold prices have only gone up. Gold is the only asset that can be used and the asset value increases over time. Gold jewellery can be worn and it is highly liquid. There is no depreciation unlike other products like a luxury car,  and you can mortgage it .Your total wealth increases when price of the commodity increases and people take these things into consideration when buying.

Impact of mandatory hallmarking?
The authorities have not imposed it in a strict manner and inspections are also on the lower side due to the pandemic. The shift from unorganised to the organized sector is yet to happen in a full way. 

Your expansion plans given that demand is seen positive?
Our plan was to open 21 showrooms in the fiscal and so far we have opened 15 showrooms. We opened five  showrooms in the third quarter.

What about the macro scenario and its impact?
If you look at the Budget, we feel that it is a very positive one and in the right direction. More investments in the infrastructure will create more vibrancy in the economy and will help us in future.