Gitanjali to strengthen its presence in USA

Leading Jewellery Group, Gitanjali plans to progressively expand in the USA followed by UAE, Japan and China. Expansion in USA will be via opening around 15 stores of its US-based subsidiary Samuels Jewellers. Gitanjali Group boasts of being the world’s largest integrated branded jewellery manufacturer-retailer with an annual turnover of over $2billion. Gitanjali’s extensive network of own stores, shop-in-shops and franchise outlets span across 300 cities and 4,000 points of sale.

Gitanjali Group recently announced its results for the financial quarter and nine months ended December 31st, 2014. The company achieved net sales of Rs. 7,993.7 Cr vs Rs.9,682.5 Cr in the similar period last year. The decline in turnover was due to the company’s focus shifting towards studded jewellery from gold jewellery. This has also resulted in an increase in the gross margin for the nine months to 17.1 per cent from 16.7 per cent last year.

Commenting on the Q3 and 9M performance, Mehul Choksi, Chairman and Managing Director, Gitanjali Gems Ltd. said, “The company’s growth engine going forward would be ecommerce, affordable jewellery and global expansion primarily in the US. Gitanjali has recently associated itself with jewelsouk.com one of India’s largest jewellery marketplaces which is doing phenomenal business. Another growth area for the company would be the expansion of the affordable jewellery category through its Viola range of jewellery which will support the group’s digital growth.” He further added, “We will also capitalise on the US market through organic as well as inorganic expansion. With these growth strategies we expect exponential growth over the next two years.”