Page 28 - Bullion World Volume 5 Issue 08 August 2025

Bullion World | Volume 5 | Issue 08 | August 2025

• Technology Upgrades: Digitizing operations and Looking Ahead: What to Watch
enhancing customer experience As the next major jewellery IPO approaches,
• Supply Chain Modernization: Improving efficiency investors should evaluate:
and reducing costs 1. Geographic expansion strategy: Is there a clear
plan for scaling beyond home markets?

Kalyan and Senco have particularly emphasized 2. Product mix evolution: How is the company
technology investments, positioning themselves for the positioning for changing consumer preferences?
digital-first future of retail. 3. Technology adoption: What investments are
being made in digital capabilities?
The Ownership Structure Advantage 4. Seasonal resilience: Can the company generate
Strong promoter holdings across all players growth beyond traditional peak seasons?
provide stability: 5. Capital efficiency: How effectively does the
• RBZ Jewellers: 75% promoter holding company generate returns on invested capital?
• Manoj Vaibhav: 74.27%
• Motisons: 66% Visually-Driven Investment Takeaways
• Senco Gold: 64.38% • The consistent double-digit returns these
• Kalyan Jewellers: 62.82% companies have delivered (on both capital
These high promoter stakes signal long-term employed and equity) prove that gold retail—once
commitment and alignment with shareholder interests. seen as an unorganised sector—is now an engine
of formal wealth creation.
Investment Insights: What the Data Reveals • Robust seasonal performance, coupled with
growing year-round revenue, provides a level of

The December Quarter Edge resilience uncommon in consumer discretionary
Investors should pay special attention to Q3 results. sectors.
The consistent outperformance during festive seasons • Strong promoter alignment and strategic use of
isn't just a coincidence—it's a structural advantage of IPO funds further reinforce brand credibility and
the Indian jewellery market. consumer trust.

Scale Matters, But Efficiency Rules
While Kalyan Jewellers dominates in scale, smaller
players like Manoj Vaibhav are delivering superior Conclusion:
ROCE, proving that operational efficiency can level the The Equity Opportunity in Gold Retail
playing field. The track record of these jewellery IPOs is
unambiguous: formalisation, brand trust, and
impressive financial performance are reshaping
The Regional vs. National Debate
Regional players with strong local presence (Senco, the entire industry. Investors no longer need
Manoj Vaibhav) are showing they can compete to view gold exposure as limited to physical
effectively against national brands through better purchases—these companies have proved that
customer relationships and market understanding. equity investment in branded jewellery retail is both
attractive and credible.

Technology as a Differentiator Every successful listing and quarter of growth—
Companies investing heavily in technology and digital aided by transparent business operations, tech
capabilities are positioning themselves for long-term adoption, and professional management—
success as consumer behaviour evolves. strengthens consumer confidence and investor
conviction. As more reputable names prepare to go
public, the sector’s journey from tradition to trust-
driven enterprise offers a glittering opportunity:
the gold in your portfolio can now shine through
the equity markets, reflecting the remarkable
achievements of India’s jewellery giants.

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