Climate Change Data

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Not disclosed

Social Achievements

• CSR initiatives focusing on health & hygiene, education, water management, and vocational training; spent ₹144.23 lakhs.

Governance Achievements

• Established a Risk Management Committee; improved credit rating to "A-".

Climate Goals & Targets

Environmental Challenges

• COVID-19 lockdowns impacting operations; high gold price fluctuations; competition from unorganized sector; shrinking market size; changing customer preferences; stringent government regulations.

Mitigation Strategies

• Business contingency plans; improved product mix; minimized fixed costs; introduction of new designs and products; hedging policy; deeper penetration into known territories; asset-light model for expansion; competitive pricing; employee incentive schemes; robust risk management framework.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Brand-based vendor management; prompt payment to vendors.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Not disclosed

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• High level of gold price and its behaviour
• Possibility of increased attrition and difficulties in induction and training of staff members
• Shift in customers preferences to other discretionary consumable durables
• Likely increase in cost of funding by 100b to 150b by end 2023
• Accelerated inflation trend may compel for a wage enhancement
• A clear shift has taken place in the minds of the customer’s choice and preferences
• Ever fluctuating cost of gold that would affect the customer behaviour over medium term and also the profitability on a quarterly basis
• Arising out of possibility of re-emergence of Covid in any part of financial year 22-23
• Ongoing pricing war among the organised players
• Application of better part of earning income to meet the incremental working capital requirements for the same size of business
• Competing demand for household savings from other auto/ electronics products that enjoy huge leverage potentials

Mitigation Strategies

• Highly competitive pricing for all products
• Excellent pre & post service facilities
• Wider choice of varieties of different designs to suit customer’s preferences
• All showrooms are resourceful enough to give “feel good experience” in the shops
• Reduction in Selling price by 2% across the board in October 2020
• Rural penetration to capture market share
• Improved outlay on Advertisement & Publicity
• Improved product mix composition
• Stock rotation initiatives
• Retail outlet expansion
• Asset less model
• TMJL Plus (small formats)
• Hedging strategies up to 75%
• Guidance and mandate of appropriate social distancing measures and work places
• Regular communication with big ticket customers about measures taken to maintain sales services
• Drawing up of plans and identification of opportunities for proposing new solution post Covid -19 disruption
• Centralised procurement policy to reduce raw material cost
• Procuring a certain quantum of gold on lease from banks and purchases gold on daily basis on the actual sale made by it

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Ind AS

Certifications: Null

Third-party Assurance: Srinivas & Padmanabhan Chartered Accountants

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Nil

Social Achievements

• Nil

Governance Achievements

• Nil

Climate Goals & Targets

Environmental Challenges

• Persistent elevated gold price prevalence
• Shift in customers preferences for other discretionary spending
• Accelerated inflation trend
• Unhealthy competition from both organized and unorganized players

Mitigation Strategies

• Concentration on product mix composition
• Improvement in “stock rotation” with the help of technology
• Better inventory stocking in major outlets to increase the “footfall”
• Highly competitive pricing for all products
• To act as source for design-oriented other active brands in our display

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Careful selection of ethical suppliers
• Regular communication with suppliers to ensure quality, pricing, lead time, and social responsibility standards

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: BRSR

Certifications: BIS

Third-party Assurance: J.Sundharesan & Associates (limited assurance on certain sustainability indicators)

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced electricity consumption (details not quantified in report)
• Reduced water withdrawal (details not quantified in report)
• Initiated seed ball distribution program to promote tree planting

Social Achievements

• Daily provision of buttermilk and water to Madurai showroom staff
• Ongoing employee training on ESG practices
• Maintained harmonious industrial relations

Governance Achievements

• Implemented robust internal controls
• Enhanced transparency and accountability mechanisms
• Adherence to relevant regulations and standards

Climate Goals & Targets

Environmental Challenges

• Rapid increase in gold price affecting volume offtake
• High working capital intensity
• Shift in consumer preferences towards other discretionary spending
• High competitive intensity
• High advertisement and publicity costs
• Tax litigation

Mitigation Strategies

• Better yielding product-mix composition
• Improved capital productivity
• Competitive price advantage
• Marketing other branded jewellery products
• Technology adoption for quality improvement and inventory management
• Geographical expansion with margin of safety
• Cost optimization
• Gold inventory hedging (89%)
• Maintaining surplus liquidity

Supply Chain Management

Responsible Procurement

• Ethical sourcing of raw materials
• Traceability system for raw materials
• Long-term relationships with suppliers
• Regular assessment of supplier performance
• Collaboration with stakeholders to promote sustainable sourcing

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: BRSR

Certifications: BIS