Senco Gold Q2 Net Jumps to Rs 48.8cr

Kolkata, Nov 13 (PTI) Senco Gold Ltd on Thursday reported a four-fold jump in consolidated net profit on-year to Rs 48.8 crore for the September quarter, driven by improved margins and higher demand for diamond jewellery, despite a volatile gold price environment.

The company's bottomline stood at Rs 12.1 crore in the year-ago period.

Consolidated revenue for the quarter rose 2 per cent year-on-year to Rs 1,536.1 crore, while adjusted EBITDA increased 30 per cent to Rs 106.5 crore.

The EBITDA margin improved sharply to 6.9 per cent from 5.4 per cent a year earlier, Senco Gold said.

For the half year ended September 30, consolidated revenue grew 16 per cent to Rs 3,362.3 crore from Rs 2,904.4 crore a year earlier.

Managing Director and CEO Suvankar Sen said the company delivered a strong performance in Q2 despite headwinds such as record-high gold prices of Rs 11,650 per gram, heavy rain, and global uncertainties.

“Our consolidated revenue grew... Supported by higher average selling prices and strong demand for diamond jewellery. We achieved record ‘Dhanteras' sales of over Rs 1,700 crore in October, and we are confident of maintaining strong growth momentum in the festive and wedding season,” Sen said.

Group CFO and Head of Investor Relations Sanjay Banka said profitability improved significantly, with H1 EBITDA margin expanding 310 basis points year-on-year to 8.6 per cent.

“Our balance sheet remains strong with a debt-equity ratio of 0.75, even after building inventory worth Rs 4,309 crore ahead of the festive season,” he added.