Titan Ltd, one of the leading players in the jewellery industry, announced its Q4 FY22 results on a market holiday, May 3, 2022.
The total income during the recent March quarter of FY22 reported an increase of 4% y-o-y to Rs 7,872 crore when compared to the same period last year, mainly due to high other operating revenue. However, the revenue from operations fell marginally by about 1% y-o-y to Rs 7,267 crore.
Though the total income grew, the macroeconomic conditions including volatility in gold prices, partial lockdowns and uncertainty in the geopolitical situation in Russia and Ukraine were a cause of concern. Despite this, Titan’s EBITDA margin saw only a marginal decline of 1% when compared to the same period last year.
The profit was down 7% y-o-y to Rs 527 crore.
During the March quarter of FY22, Titan’s jewellery business fell by 4% y-o-y to Rs 6,132 crore. This segment contributes to about 88% of the company’s revenue.
The watches and wearables segment saw a growth of 12% y-o-y to Rs 622 crore vs Rs 555 crore in Q4FY21.
The company’s EyeCare business reported an increase of 6% y-o-y to Rs 134 crore.
And Titan’s other businesses which include Indian dress wear and Fragrances & Fashion accessories reported a 20% y-o-y growth to Rs 42 crore in Q4 FY22. This is compared to Rs 35 crore in Q4 FY21.
The company declares Rs 7.5 per share as a dividend to the shareholders.
Though the market conditions were challenging, Titan managed a stable March quarter FY22.
CK Venkataraman, Managing Director of Titan said that despite frequent disruptions in the quarter owing to the third wave of Covid and other geopolitical factors, the quarter has been satisfactory in terms of growth and profitability. The Company is well prepared and looking forward to an exciting Q1 FY23. All its stores ramped up for a much-awaited Akshaya Tritiya festival this year. With the international expansion in GCC markets and the first Tanishq store coming up in the US, the company’s prospects look bright.
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Research Analyst: Bavadharini KS