Leading watch maker and personal accessories major Titan Company Ltd on Thursday said it has posted net profit of Rs.823 crore in 2014-15, registering 11 percent year-on-year (YoY) increase.
"Income from sales grew nine percent YoY to Rs.11,791 crore for the fiscal under review though consumer sentiment did not pick up as expected," the Tata group company said in a statement here.
Income from jewellery grew 9.2 percent YoY to Rs.9,430 crore and watches 7.3 percent YoY to Rs.1,921 crore, while other segments comprising precision engineering, eyewear and accessories 13 percent YoY to Rs.564 crore.
"Though the economic outlook for the fiscal under review was good, consumer demand was lukewarm. Jewellery business was adversely impacted due to regulatory changes and termination of the consumer friendly golden harvest scheme," Titan managing director Bhaskar Bhatt said on the occasion.
Net profit for fourth quarter (January-March) grew 4.3 percent to Rs.215 crore, while net sales declined 11.2 percent to Rs.2,474 crore.
Operating profit too declined 9.4 percent in the quarter under review (Q4) to Rs.250 crore.
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The company attributed decline in sales to poor consumer sentiment during the last quarter of fiscal 2015 despite expanding its retail network.
The strength of Titan's brands contributed to sales growth across retail formats of watches, jewellery and eyewear.
With the addition of 123 stores in last fiscal, the company's retail network has 1,201 stores across the country.
The company's board declared a whopping dividend of 230 percent for the fiscal.