Kalyan Jewellers aims to double turnover at Rs 25kcr in 5yrs; to reach 250 retail stores

Kalyan Jewellers has chalked out an aggressive expansion plan to double its retail stores to 250 in India and abroad as well as the turnover to Rs 25,000 crore over the next five years, its top official said.

The Kerala-based jeweller currently operates 100 stores in the country and 32 overseas with a turnover of Rs 10,500 crore in the 2017-18 fiscal year, its executive director Ramesh Kalyanaraman said.

"We are expanding our retail network aggressively. In this fiscal, we earmarked Rs 1,000 crore to open new stores. Already, Rs 600 crore has been spent to launch 10 stores in the first of this fiscal and the remaining Rs 400 crore will go towards adding 9-10 more stores by March 2019," he told PTI in an interview.

Kalyanaraman, who was here last week for the launch of its flagship store in north India, said the company invests about Rs 30-40 crore on an average to open a store. However, large and flagship stores require huge investment of around Rs 100-200 crore.

On future expansion, he said the company is targeting to reach 250 stores in the next five years and investments will be met through internal accruals.

The company has no immediate plans to launch its initial public offer to raise funds, he added.

Asked whether its business has been impacted by the negativity around jewellery sector, Kalyanaraman said, "We are 100 per cent retail company. We do not export jewellery and we source gold directly from local banks for our use. We do not trade in bullion also. So, there is zero impact."