 "jewellery")
India's PC Jeweller posted a loss for the fifth straight quarter on Wednesday, as revenues slumped due to the impact of legal battles with its lenders.
The company has proposed a one-time settlement of its unpaid debt to lenders, who have agreed in-principle to seek internal approval for the proposal, it said on Wednesday.
PC Jeweller has already paid an upfront deposit against the settlement and is "hopeful of receiving a positive final outcome towards its settlement proposal soon".
In an attempt to revive its fortunes, the Delhi-based company is now working to revamp its operations by cutting costs and launching new collections.
Consolidated net loss of the embroiled ornaments maker widened to Rs 198 crore (nearly $24 million) in the three months ended Dec. 31, from losses of Rs 61.12 crore a year ago and Rs 138 crore a quarter ago.
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PC Jeweller has been grappling with a "liquidity squeeze" amid shutdowns of some of its showrooms as a tussle with lenders since last year took a toll.
The company had complained about "adverse publicity" hitting sales after a slew of lenders, including State Bank of India and Indian Bank, deemed its borrowing accounts as non-performing from 2021 and moved court to seek due repayments.
The company had been exploring the possibility of an out-of-court settlement with its lenders.
Its revenues plummeted 95% in the December quarter, a period which coincides with key festivals in India, when gold demand is usually higher, as buying bullion is considered auspicious.
Shares of PC Jeweller had slumped 44% in 2023 after three consecutive annual gains.
Meanwhile, festive demand boosted peer Kalyan Jewellers' profit in December quarter, while higher gold prices led to Titan missing estimates. Bullion prices rose about 9% in the December quarter.
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