Kalyan Jewellers India Ltd., whose shares are down 40% so far this month, will declare its October-December quarter earnings on Thursday, January 20. The stock has corrected 43% from its peak of 794.60, which it hit on January 2, 2025.

Ramesh Kalyanaraman of Kalyan Jewellers had earlier said that it’s essential to look beyond a few days of fluctuations and focus on the longer-term trajectory. “Over the past two and a half years, Kalyan Jewellers has delivered consistent performance. Short-term volatility may have occurred due to profit-booking, corrections, or broader macroeconomic factors,” he said.

Analysts at brokerage firm Motilal Oswal see adjusted profit rising 46% year-on-year to ₹264 crore for the December quarter as against ₹181 crore in the same quarter last year. Sales may grow 38% on-year to ₹7,228 crore from ₹5,223 crore.

Same-Store Sales Growth (SSSG) may come at 21%. Motilal Oswal expects 25 store additions for India Kalyan, eight for Candere and three store addition in the Middle East, taking the total count to 339 stores.

The brokerage expects inventory loss of ₹50-60 crore in the third quarter due to customs duty reduction. “We have not considered the impact in operating performance numbers,” it said.

According to ICICI Securities, Kalyan Jewellers will continue to outperform Titan in the quarter with strong (standalone jewellery) revenue growth of 41%, compared to 25% on-year growth for Titan. Additionally, its SSSG stood at 24% on-year as against 22% on-year for Titan’s domestic jewellery business.

“There has been acceleration in revenue growth trajectory for both the players driven by strong festive and wedding demand across both gold and studded categories. Kalyan benefits from rapid retail expansion (+30 per cent YoY vs Tanishq’s +10 per cent YoY) through its (capital-light) FOCO model,” the brokerage noted.

Ever since Kalyan Jewellers shared its quarterly business update, the stock has been declining.

The company said its India operations saw a revenue growth of approximately 41% in the third quarter, led by strong festive and wedding demand across both gold and studded categories. The quarter recorded healthy SSS growth of 24%.

Kalyan has launched 24 showrooms in India during the reporting quarter, with a strong pipeline of showrooms set to open over the course of the ongoing quarter.

Out of the nine analysts who track Kalyan Jewellers, eight of them have a ‘Buy’ rating, while one of them has a ‘Sell’ rating on the stock. Motilal Oswal has the highest target price on the stock at ₹875, while Ventura Securities’ ‘Sell’ rating, comes with a target of ₹692.

The company’s promoters held a 62.85% stake as of December 2024 quarter, according to data from BSE.

Shares of Kalyan Jewellers are currently trading 1.07% higher on Thursday at ₹453.50. On a year-to-date basis, the stock has tumbled nearly 42%.