Joyalukkas Plans ₹3,600 Crore Investment to Open 40 New Showrooms

Leading jewelry retailer Joyalukkas has announced an ambitious investment plan of ₹3,600 crore, aimed at expanding its global footprint. The company intends to establish 40 new showrooms in India and internationally by the end of the next fiscal year. This expansion will increase its total number of showrooms from the current 190 to an impressive 230. Notably, 15 of these new outlets will be located overseas, including markets in New Zealand and Canada.

The expansion aligns with Joyalukkas’s strategic growth objectives. The company anticipates a significant revenue increase, projecting earnings to rise from ₹30,000 crore in fiscal year FY25 to ₹35,000 crore in FY26. Furthermore, with the new store openings and enhanced international market presence, Joyalukkas aims for a turnover of ₹41,000 crore by FY27, representing a 16% increase.

Strategic Focus Amid Market Challenges

Currently, international operations contribute approximately 35% to the company’s total revenue. Despite the challenges posed by volatility in gold prices, Joyalukkas remains steadfast in its commitment to value growth, supply-chain discipline, and prudent capital deployment.

Chairman and Managing Director Joy Alukkas acknowledged that while rising gold prices have somewhat impacted volume sales, the company has managed to achieve a 15-16% value growth through effective pricing strategies and operational efficiencies. He noted that the fluctuations in gold prices are largely influenced by geopolitical tensions and broader global economic uncertainty. Nonetheless, he expressed optimism regarding the long-term stability of gold as a reliable store of value.

Commitment to Corporate Social Responsibility

Beyond its business endeavors, Joyalukkas has made significant contributions to corporate social responsibility (CSR) initiatives. The company is recognized as a leading contributor to such programs among firms based in Kerala. In a notable effort, Joyalukkas has completed the construction of 500 homes under its ‘Joy Homes’ project, aimed at supporting underprivileged families.

Additionally, the company has launched a multi-phased elderly care initiative, developing old age homes with an overall CSR commitment of around ₹100 crore. These endeavors reflect Joyalukkas’s dedication to positively impacting communities while pursuing its growth aspirations in the competitive jewelry market.