Khazanchi Jewellers Ltd Q2 2026 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Aditi Roy - Patel Advisors Private Limited - Analyst : I have a couple of questions with me. First, I want to know how do margins (technical difficulty) across the 3 segments, like wholesale, retail and billion.

Question: Aditi Roy - Patel Advisors Private Limited - Analyst : Yes, correct, sir.

Question: Aditi Roy - Patel Advisors Private Limited - Analyst : Okay. And sir, wholesale require a strong inventory turnover. So how do you manage inventory days and the working capital cycle?

Question: Aditi Roy - Patel Advisors Private Limited - Analyst : And sir, are you exploring any institutional audits like large chains or stores or beyond your existing 1,000 B2B trends?

Question: Aditi Roy - Patel Advisors Private Limited - Analyst : Okay, sir. And what question of wholesale revenue is from B2B clients (technical difficulty)?

Question: Aditi Roy - Patel Advisors Private Limited - Analyst : Yes, sir.

Question: Arapan Kothari - 915 FinTech Services - Analyst : Yes. Congratulations on the great set of numbers. My question is on the (technical difficulty). If you see year-on-year growth in terms of volume, it has been flattish, considering the dollar and the gold prices in IR. And also on Q1, it has been around 18% to 20%. Are the numbers correct? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. NOVEMBER 19, 2025 / 11:00AM, KHAZ.BO - Q2 2026 Khazanchi Jewellers Ltd Earnings Call

Question: Arapan Kothari - 915 FinTech Services - Analyst : Okay. The next question is on the new showrooms inventory. You raised INR20 crores in 2023 for the inventory cost. But the prices have almost doubled from 2023 to today. So how are you going to manage the inventory? Are you going to reduce the inventory? Or are you going to fund it internally?

Question: Arapan Kothari - 915 FinTech Services - Analyst : Okay. So what would be the inventory cost right now for the new showroom that you have (technical difficulty)?

Question: Arapan Kothari - 915 FinTech Services - Analyst : And that will be funded by internal accruals.

Question: Priya Jain - Green Capital - Analyst : Yes, am I audible?

Question: Priya Jain - Green Capital - Analyst : Sir, your inventory increase, I guess, [200] to INR7 crores or INR8 crores in FY25. What are the optimal inventory level for last cycle? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. NOVEMBER 19, 2025 / 11:00AM, KHAZ.BO - Q2 2026 Khazanchi Jewellers Ltd Earnings Call

Question: Priya Jain - Green Capital - Analyst : Are there plans to digitalize inventory management for real time (technical difficulty)?

Question: Priya Jain - Green Capital - Analyst : Okay. And what is the average inventory turnover in gold versus diamond?

Question: Priya Jain - Green Capital - Analyst : Okay. And sir, what been contributing to revenue, how do you manage billing procurement or was the jury SQ procurement?

Question: Priya Jain - Green Capital - Analyst : Okay. And one last question, so just to understand how to a gold altering procurement cycles.

Question: Priya Jain - Green Capital - Analyst : Okay. Sir, I think I'm done with my questions. (technical difficulty) much as -- looking forward to intact with you in next quarter. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. NOVEMBER 19, 2025 / 11:00AM, KHAZ.BO - Q2 2026 Khazanchi Jewellers Ltd Earnings Call

Question: Vin Shah - VS Vance - Analyst : What% of our customers are like repeat customers?

Question: Vin Shah - VS Vance - Analyst : B2B, sir.

Question: Vin Shah - VS Vance - Analyst : Okay, sir. And sir, in Tamil Nadu, like do we see any high growth potential in future expansion point like Tier 2 and tier 3 cities, like what kind of market we are looking at?

Question: Vin Shah - VS Vance - Analyst : Okay. So are we planning to open stores over there also?

Question: Vin Shah - VS Vance - Analyst : Okay. And sir, what is our like sourcing strategy for loose diamonds and certification?

Question: Vin Shah - VS Vance - Analyst : Okay, sir. And sir, do you see like in the e-commerce channel, do you see any high-value curated pieces? Like how is demand over there in e-commerce.

Question: Vin Shah - VS Vance - Analyst : Yes. So the wage tax we have.

Question: Vin Shah - VS Vance - Analyst : Yes.

Question: Harshil Ghanshyani - Kirin Advisors - Analyst : Thank you, everyone, for joining the conference call of Khazanchi Jewellers Limited. If you have any queries, you can write us a (technical difficulty). Once again, thank you, everyone, for joining the conference call.