Gems & Jewellery company Renaissance Global announced Q2FY25 results Q2FY25 Financial Highlights: Total Income from continuing operations stood at Rs 391.6 crore vs Rs 379.8 crore. Licensed Brands (B2B + D2C) Jewellery business revenues grew by 2.5% to Rs 56.7 crore. Our Brands (Direct-to-Consumer) business revenues up 7.3% to Rs 41.9 crore. Adjusted EBITDA from continuing operations stood at Rs 40.4 crore as against Rs 28.4 crore, up by 42%. Adjusted EBITDA Margins stood at 10.3% as against 7.5%, up by 284 bps. Adjusted PAT up by 50% to Rs 15.7 crore as against Rs 10.5 crore. H1FY25 Financial Highlights: Total Income from continuing operations stood at Rs 763.6 crore vs Rs.782.8 crore. Licensed Brand Jewellery business revenues up 15.4% to Rs 145 crore. Our Brands (Direct-to-Consumer) business revenues up 18.5% to Rs 91.9 crore. Adjusted EBITDA at Rs 79.4 crore as against Rs 60.3 crore, up by 31.8%. Adjusted EBITDA Margins stood at 10.4% as against 7.7%, up by 271 bps. Adjusted PAT stood at Rs 31.4 crore as against Rs 24.7 crore, up by 27.1%. Sumit Shah, Chairman and Global CEO, Renaissance Global, said: "We are pleased to report a stable performance during the quarter with revenues and adjusted EBIDTA growing over Q2FY24 by 3.1% and 42.2% respectively from continuing operations. Our efforts towards improving margins have led to our adjusted EBITDA margin reaching 10.3% in Q2FY25. This has been made possible through a combination of increased gross margins and strategically re-aligning our cost structure based on current capacity needs. In keeping with our focus on Branded jewellery, we recently tested the Enchanted Star collection with a major retail partner in the US. This collection is an extension of our largest and most successful Enchanted Disney Fine Jewelry brand into the lab grown diamond space. This collection features marquee engagement ring designs and trendy fashion jewelry pieces and I am pleased to share that initial signs of this test are very promising. We believe this collection has the potential to add meaningful revenues to the Licensed brands business in the coming quarters. Additionally, we announced the launch of Renaei, our new fashion jewellery D2C brand, set to debut on Amazon in the United States. Positioned strategically within the high-growth fashion jewelry segment, Renaei will cater to Millennial and Gen Z consumers. I am also pleased to announce that we are undertaking a fresh issue of shares on a preferential basis with a target of raising around ?168 crore, which will help strengthen the balance sheet and enable the Company to undertake strategic acquisitions and invest in modernizing our manufacturing infrastructure. We look forward to seeing the benefits of the above steps in stronger financial results in the coming quarters.” Result PDF
Conference Call with Renaissance Global Management and Analysts on Q4FY24 Performance and Outlook. Listen to the full earnings transcript.
Gems & Jewellery company Renaissance Global announced Q3FY24 & 9MFY24 results: Q3FY24 vs Q3FY23: Total Income stood at Rs 657.9 crore vs Rs 725.0 crore, down 9.3%. Branded Jewellery business revenues up 16.2% to Rs 272.1 crore. Direct-to-consumer business revenues up 7.5% to Rs 94.9 crore. EBITDA at Rs 53.9 crore as against Rs 50.1 crore, up 7.6%. EBITDA Margins stood at 8.2% against 6.9%, up 129 bps. PAT, after discontinued operations, stood at Rs 27.9 crore against Rs 27.8 crore. 9MFY24 vs 9MFY23: Total Income stood at Rs 1,577.4 crore from Rs 1,741.3 crore, down 9.4%. Branded Jewellery business revenues up 12.2% to Rs 513.3 crore. Direct-to-consumer business revenues up 18.4% to Rs 204.0 crore. EBITDA at Rs 122.4 crore as against Rs 130.0 crore, down by 5.9%. EBITDA Margins stood at 7.8% against 7.5%, up by 31 bps. PAT, after discontinued operations, stood at Rs 52.6 crore against Rs 67.6 crore. Commenting on the performance for Q3 & 9MFY24, Sumit Shah – Chairman and Global CEO, Renaissance Global said, “We have reported a resilient performance during the quarter marked by increased margins. Revenue growth in our strategically important Branded segment has helped us navigate through a challenging year in our key markets. Our licensing agreements with Marvel and Warner Bros. will help further augment revenue from this category. Our D2C vertical, while currently exhibiting good growth remains a key focus area for future expansion. For the 9-month period, the growth in the segment was ~18%. In Q3FY24, the revenue growth was moderate due to a focus on profitability. In the B2B segment, a significant development has been the successful launch of Wonder Fine Jewelry with one of our large retailer partners. Wonder Fine Jewelry is our umbrella brand for Disney Jewels, Marvel, and Star Wars. After signs of early success in the 2023 holiday season, we expect this to be launched with another large retailer in the coming quarters. Another noteworthy development is the widespread acceptance of Lab-Grown Diamonds (LGD) globally, particularly in engagement rings and solitaire jewellry. Currently, LGDs constitute around 50% of our D2C sales, indicating our penetration in this fast-growing segment. Our focus in the coming quarters is to fully leverage our strong partnerships with renowned brands, our robust distribution network, and our D2C capabilities to emerge from these challenging times with growth in our revenues and margins.” Result PDF
Jewellery Makers firm Renaissance Global announced Q1FY23 Result : Total Income stood at Rs. 575 crore higher by 37% YoY Direct-to-Consumer business revenues up 63% to Rs. 41 crore EBITDA stood at Rs. 42 crore, with margins at 7.3% PAT improves to Rs. 24.2 crore Total Income stood at Rs. 575.4 crore from Rs. 419.6 crore up by 37% Branded Jewellery business revenues up 36% to Rs. 124.1 crore Direct-to-Consumer business revenues up 63% to Rs. 40.7 crore EBITDA at Rs. 42.0 crore as against Rs. 41.3 crore, up by 2% EBITDA Margins stood at 7.3% as against 9.9%, lower by 276 bps PAT, after discontinued operations, stood at Rs. 24.2 crore as against Rs. 23.7 crore, higher by 2% Commenting on the performance for Q1 FY23, Mr. Sumit Shah – Chairman and Global CEO, Renaissance Global Limited said, “We have delivered a healthy top-line performance during the quarter despite a challenging macroenvironment in our key global markets. Our total income growth for Q1FY23 came in at 37% YoY. While the demand environment remained steady, we witnessed some non-linearities with regards to increased inflationary pressures in key raw materials. These had a bearing on our margin performance during the quarter. Although we do remain cautious of these challenges in this fiscal, we expect them to be largely transitory in nature. Our core branded jewellery business marked strong growth in revenues to the tune of 36% YoY in Q1 FY23, supported by steady retail consumption. Within this segment, our direct-to-consumer (D2C) business delivered 63% revenue growth. It also continues to witness a notable increase in repeat customer wins. Overall, this vertical is a key growth lever for us and we look forward to strengthening this segment, going forward. Looking ahead, given the intensifying inflation trend, we anticipate global consumption for discretionary products to be muted in the near future. However, on a longer-term basis, we are optimistic about our growth prospects and potential in our international markets such as US, Europe and UK. There are several growth opportunities in the international branded jewellery market, and we believe, we are well-positioned to tap upon these given our partnerships with well-known brands, our significant experience in product conceptualization, our design skills, and a solid distribution network. Overall, we look forward to delivering healthy and sustainable growth, going ahead” Result PDF
Renaissance Global declares Q4FY22 result: Total Income stood at Rs. 2,208.7 crore higher by 8% Direct-to-Consumer business revenues up 91% to Rs. 123.8 crore EBITDA stood at Rs. 200.5 crore, with margins at 9% PAT improves to Rs. 106.5 crore Total Income stood at Rs. 536.0 crore from Rs. 584.2 crore down by -8% On a like-to-like basis, total income growth stood at 28% YoY Branded Jewellery business revenues up 33% to Rs. 119.8 crore Direct-to-Consumer business revenues up 31% to Rs. 29.5 crore EBITDA at Rs. 36.8 crore as against Rs. 34.1 crore, up by 8% EBITDA Margins stood at 6.9% as against 5.8%, higher by 102 bps PAT, after discontinued operations, stood at Rs. 21.3 crore as against Rs. 15.7 crore, higher by 36% Commenting on the performance for Q4 & FY22, Mr. Sumit Shah – Vice Chairman and Global CEO, Renaissance Global Limited said, “We are pleased to share that we have ended the year with a strong business and financial performance, with some key strategic developments during the year. Our like-to-like total income growth in FY22 stood at 32% and PAT grew by 130%. Performance was driven by robust contribution from our high-margin branded jewellery segment and strong demand from our key geographies. While our EBIDTA margins improved over same quarter last year, we saw certain inflationary pressures in our key input costs such as diamonds. This had a slight bearing on our profitability performance during the quarter. However, we expect this impact to be transient in nature as we pass on some of these cost increases to our customers. Overall, our EBITDA margins during the year stood at 9.1%. The branded jewellery segment is a key growth lever for us. Our revenues in this segment marked a notable increase of 37% YoY in FY22 driven by healthy uptick in retail consumption and improved demand environment in global markets. Our recent licensing agreement with one of North America's most popular sports league, National Football League (NFL) to design a unique jewellery collection will further boost revenues in this segment over the coming years. We are undertaking several strategic initiatives towards growing our branded jewellery business model. In one such move, during the quarter, we successfully acquired the assets of Four Mine Inc (FMI). FMI specializes in the sale of branded lab grown diamond engagement rings and this transaction will give us a strong foothold in this space, while also improving the operating margin of the business through supply chain efficiencies. On the D2C front, we are experiencing consistent improved traction in new consumer engagements as well as seeing increased repeat customer wins across our six websites. The contribution from repeat customers came in at 17% in Q4 FY22. In the coming months, we'll be expanding our D2C portfolio further with the launch of new websites, including the NFL website. I am also happy to share that we are developing a new headquarters and fulfilment centre in New York, USA, with state of the art distribution facilities, merchandising centre, sales and after sales support functions to support our growth in this segment. Our engagement with world renowned brands, our extensive experience in product conceptualization, design capabilities and distribution position us well to leverage on the many growth opportunities in the global branded jewellery industry. In a normalised environment, we look forward to delivering improved performance.” Result PDF
Apparels & Accessories company Renaissance Global declares Q3FY22 result: Total Income stood at Rs. 775.0 crore higher by 26.4% Direct-to-Consumer business revenues up 77.5% to Rs. 48.9 crore EBITDA stood at Rs. 68.5 crore, with margins at 8.8% PAT improves to Rs. 33.0 crore Q3 FY22 performance overview compared with Q3 FY21: Total Income stood at Rs. 775.0 crore from Rs. 741.5 crore On a like-to-like basis*, total income growth stood at 26.4% YoY Branded Jewellery business revenues up 30.3% to Rs. 196.3 crore Direct-to-Consumer business revenues up 77.5% to Rs. 49.0 crore EBITDA at Rs. 68.5 crore as against Rs. 48.4 crore, up by 41.7% EBITDA Margins stood at 8.8% as against 6.5%, higher by 231 bps PAT, after discontinued operations, stood at Rs. 33.0 crore, higher by 29.9% 9M FY22 performance overview compared with 9M FY21: Total Income stood at Rs. 1,672.4 crore from Rs. 1,463.0 crore On a like-to-like basis*, revenue growth stood at 34.0% YoY Branded Jewellery business revenues up 38.3% to Rs. 382.9 crore Direct-to-Consumer business revenues up 123.2% to Rs. 94.3 crore EBITDA at Rs. 163.6 crore as against Rs. 81.4 crore, up by 100.8% EBITDA Margins stood at 9.8% as against 5.6%, higher by 423 bps PAT, after discontinued operations, stood at Rs. 85.1 crore as against Rs. 26.7 crore Commenting on the performance for Q3 & 9M FY22, Mr. Sumit Shah – Vice Chairman and Global CEO, Renaissance Global Limited said, “We are pleased to share that we have delivered a strong performance during the quarter on the back of improving demand environment in our key global markets of North America, Europe and Asia. Our like-to- like total income in Q3 was higher by 26% YoY and PAT expanded by 29% YoY, while 9M like-to-like total income growth stood at 34% and PAT grew by 178%. The growth was further driven by robust contribution from our high-margin branded jewellery segment and our direct-to-consumer business. The direct-to-consumer segment is a key focus area for us. We are seeing improved consumer traffic across our six websites. I am also happy to share that we are constantly witnessing healthy business from repeat customers. In the quarter, the contribution from repeat customers stood at 17% as against 15% in Q2 FY22, 14% in Q1 FY22 & average 6% in FY21. The contribution from repeat customers continues to be on an improving trend, showcasing higher costumer stickiness and brand trust. We are also happy to share that we have signed a licensing agreement with one of North America’s most popular sports leagues, National Football League (NFL) to design a unique jewellery collection. This partnership is strategic and mutually synergistic in nature and further aligns with our long- term goal to accelerate our branded jewellery business. This along with our existing strategic licensing agreements with Enchanted Disney Fine Jewellery, Hallmark, Star Wars and Disney Treasures augments our branded jewellery product portfolio and enables us to build our presence in key global geographies. Overall, we have delivered a healthy performance during the period under review. As we look ahead, there are concerns related to the third wave of COVID-19 in some of our key global markets. However, we anticipate minimal and short-lived disruption due to this surge and expect the demand environment to stabilize soon. Our business strengths such as our partnership with globally recognized brands, high expertise in conceptualization, designing & distribution of products and advanced industry know-how place us very well to tap upon the various growth opportunities in the high-potential global branded jewellery industry. All in all, we are optimistic about our growth prospects and opportunities in key international markets. Based on our strong performance for the quarter & financial year till date and in line with our dividend distribution policy, the Board has decided to declare an interim dividend of Rs. 5.5 per share” Result PDF
Highlights: Revenues from operations stood at Rs. 4,771 million Direct-to-Consumer business revenues up 128% to Rs. 204 million EBITDA stood at Rs. 538 million, with margins at 11.3% PAT improves to Rs. 283 million Q2 FY22 performance overview compared with Q2 FY21 Revenues from operations stood at Rs. 4,771.0 million from Rs. 5,228.7 million On a like-to-like basis*, revenue growth stood at 6% YoY Branded Jewellery business revenues up 3% to Rs. 950.4 million Direct-to-Consumer business revenues up 128% to Rs. 203.6 million EBITDA at Rs. 538.4 million as against Rs. 442.3 million, up by 22% EBITDA Margins stood at 11.3% as against 8.3%, higher by 295 bps PAT, after discontinued operations, stood at Rs. 282.9 million as against Rs. 192.6 million, higher by 47% H1 FY22 performance overview compared with H1 FY21 Revenues from operations stood at Rs. 8,865.9 million from Rs. 7,084.3 million, higher by 25% On a like-to-like basis*, revenue growth stood at 42% YoY Branded Jewellery business revenues up 48% to Rs. 1,865.4 million Direct-to-Consumer business revenues up 209% to Rs. 453.2 million EBITDA at Rs. 951.8 million as against Rs. 330.8 million, up by 188% EBITDA Margins stood at 10.6% as against 4.6%, higher by 602 bps. PAT, after discontinued operations, stood at Rs. 520.4 million as against Rs. 12.5 million Commenting on the performance for Q2 & H1 FY22, Mr. Sumit Shah – Vice Chairman and Global CEO, Renaissance Global Limited said, “We are pleased to share that we have reported an encouraging performance in the second quarter of the fiscal, with Q2 revenues higher by 6% and PAT growth up by 24% (growth rates on a restated basis after adjusting for plain gold revenues), YoY and H1 revenues higher by 42% and PAT up by 9.5 times YoY. The growth was primarily driven by improved contribution from our high-margin branded jewellery segment, as well as robust YoY growth in our direct-to-consumer business. In the quarter, we saw strong recovery in consumption across our key global markets in North America and Europe, which further assisted performance. Our global branded business is a key strategic growth focus area for us. In order to strengthen this segment, we have recently established a Strategic Advisory Board comprising three renowned executives with diverse industry experience. This Board will be working closely with our leadership team, offering direction and guidance at key stages of our future projects, steering Renaissance towards the next phase of stronger and sustainable growth. During the quarter, we also announced the acquisition of Everyday Elegance jewellery. This transaction is in-sync with our strategy to expand our presence in the global Branded Jewellery space. Our long-term strategy is to efficiently grow our branded jewellery business across key international markets. Through our strategic licensing model, we have partnered with global iconic brands such as Hallmark and Disney. Our endeavor is to extend this model across newer brands, which will further fortify our position in the global branded jewellery industry. Within this segment, our Direct-to-Consumer business is an exciting growth prospect. In the last 15 months, we have launched six direct-to-consumer websites and are pleased to share that these channels have received excellent consumer response. We will be further augmenting our D2C portfolio in the coming months with the launch of additional websites. Overall, we are confident of our growth potential and the opportunities across our key geographies in North America, Europe, China, and other international markets.” Result PDF