The Tata Group company reported 7.18% decline in standalone net profit to Rs 491 crore in Q4 FY22 from Rs 529 crore in Q4 FY21.
The company said Q4 FY22 ended with a satisfactory performance despite partial lockdowns, volatility in gold prices and uncertainty in a fragile geo-political situation. Total income for the quarter ended March 2022 stood at Rs 7,352 crore, rising 3% from Rs 7,169 crore posted in Q4 FY21. Excluding bullion sale, revenue declined by 2% compared to Q4 FY21.The exceptional item represented Rs 51 crore expense recognised in the books on account of voluntary retirement scheme that was offered to employees during Q4. Profit before exceptional item and tax stood at Rs 716 crore in the fourth quarter, rose 1.99% from Rs 702 crore in the same period last year.
During the quarter, the company's jewellery business registered an income of Rs 6,132 crore compared to Rs 6,397 crore in Q4 FY21 (excluding bullion sale), a decline of 4%. Jewellery business reported an EBIT of Rs 780 crore (before exceptional items) in Q4 FY22 compared to Rs 703 crore in Q4 FY21.
Watches & Wearables business reported an income of Rs 622 crore with 12% growth in Q4 FY22 compared to Rs 555 crore in Q4 FY21. The business reported an EBIT of Rs 16 crore (before exceptional items) in Q4 FY22 compared to Rs 46 crore in the same quarter of previous year.
Eyecare business reported an income of Rs 134 crore with 6% growth in Q4 FY22 compared to Rs 127 crore in Q4 FY21. The company's eyecare business reported a loss of Rs 3 crore (before exceptional items) in the quarter compared to an EBIT of Rs 23 crore, during the period under review.
Other businesses comprising of Indian dress wear and Fragrances & Fashion accessories reported an income of Rs 42 crore in Q4 FY22 compared to Rs 35 crore in Q4 FY21, a growth of 20%. Other businesses reported a loss of Rs 15 crore (before exceptional items) as compared to a loss of Rs 9 crore in the same quarter of the previous year.
Among the subsidiaries of Titan, Titan Engineering & Automation (TEAL) recorded revenue of Rs 184 crore (up 80.39% YoY) and a profit before tax of Rs 21 crore (up 133.33% YoY) in Q4 FY22.
Caratlane Trading continued to do well in both online and offline channels emerging as a strong omni player. It clocked a revenue of Rs 365 crore (up 44.27% YoY) and a profit before tax of Rs 11 crore (up 10% YoY) in Q4 FY22.
CK Venkataraman, managing director of the company stated that, "Despite frequent disruptions in the quarter owing to Covid wave 3 and other geo-political factors, the quarter has been satisfactory in terms of growth and profitability. The company is well prepared and looking forward to an exciting Ql with all its stores ramped up for a much-awaited Akshaya Tritiya festival this year. With international expansion in GCC markets and the first Tanishq store coming up in the US, we are gearing up to touch new horizons in FY23."
The company has further added 269 stores during the year. The company's retail chain (including Caratlane) has 2,178 stores across 337 towns with an area exceeding 2.8 million sq. ft. as on March 2022, the company stated.
Meanwhile, the company's board recommended a dividend of Rs 7.5 per equity share.
Titan Company is engaged in making and selling watches, jewellery, eyewear and others.
Shares of Titan Company lost 2.95% to end at 2386.60 on Monday, 2 May 2022. The domestic stock market is closed today, 3 May 2022, on account of Id-Ul-Fitr (Ramzan Id).
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