The company posted a 24.7 percent drop in consolidated net profit for the fourth quarter, landing at 94.9 million rupees (approximately 1.1 million US dollars). The dip follows a sustained streak of quarterly profit growth, underlining how volatile bullion prices are reshaping consumer behaviour.

According to the World Gold Council, demand for gold as an investment in India surged 7 percent to 46.7 tonnes during the quarter. In stark contrast, jewellery demand plunged 25 percent to 71.4 tonnes—marking the lowest consumption for a January–March period since 2009.

"The spike in bullion prices prompted a behavioural shift among Indian consumers, with many opting to invest in gold rather than purchase jewellery," TBZ said in a statement.

Gold prices rose nearly 17 percent over the quarter, with the price of 10 grams of 24-carat gold surpassing 90,000 rupees (around 1,052 US dollars) by the end of March. The steep climb discouraged discretionary jewellery purchases, especially among price-sensitive consumers.

Despite the subdued sentiment, TBZ reported a 4.5 percent year-on-year rise in total operating revenue to 5.29 billion rupees. However, this was down from a 9 percent rise in the same quarter a year ago. Operating expenses increased 4.8 percent to 5.17 billion rupees, largely driven by a 34 percent jump in raw material costs.

The results contrast with stronger performances from larger rivals Titan Company and Kalyan Jewellers, both of which posted higher quarterly profits earlier this month, aided by diversified offerings and broader store networks.

Analysts suggest TBZ may need to recalibrate its pricing strategy and explore more contemporary, lightweight product lines to remain competitive amid a shift in consumer preference.

With gold continuing to attract investors amid global uncertainties, jewellery retailers like TBZ face mounting pressure to adapt to a changing market landscape—where gold's value is increasingly viewed through a financial lens rather than a decorative one.