Joyalukkas to invest Rs 600 cr for branch expansion
Dubai-based global jewellery retail chain Joyalukkas will invest Rs 600 crore on opening 10 new branches across India by March 2014.
The company’s aviation wing, Joy Jets, will buy three more small commercial aircraft for $38 million next year. It already has one, bought for $15 million and stationed at Chennai, which it runs as a luxury chartered flight. The second aircraft it is buying will run between Kochi and Dubai, said Joy Alukkas, Chairman and Managing Director, here .
With Joyalukkas’s business in the southern states now reaching saturation point, it is expanding into the northern states.
Talking to reporters, he said Joyalukkas currently has 90 showrooms in 10 countries. With 10 more retail outlets, each carrying an investment of Rs 60 crore, lined up before March 2014, Joyalukkas will have 52 outlets in the country. It has 48 showrooms overseas and plans to open new ones in New York and Qatar next year.
Joyalukkas had a turnover of Rs 10,000 crore (including Rs 6,000 crore overseas) in 2012-13. The company focusing on NRIs to open outlets in the areas of their concentration. Consequently, 90 per cent of its customers abroad are NRIs.
In India, a majority of its customers are from the southern states, he said, adding 80 per cent of its employees manning outlets are locals. The company currently has nearly 7,000 employees .
With gold prices rising, about 40 per cent of the gold jewellery business is due to recycling of the yellow metal as people prefer to recycle old ornaments for new.
Replying to a question, Alukkas said the firm’s business in Andhra Pradesh has been affected during the last three months due to agitations over the Telangana issue.S