Titan Co.’s jewellery business – consisting of brands Tanishq, Zoya, Mia and CaratLane – reported a 35% jump in revenue to Rs. 23,268 crore ($3.04 billion) for the whole year FY 2021-22 on a y-o-y basis.
The jewellery division registered a 4% decline in Q4 FY22 revenue to Rs. 6,132 crore compared to Rs. 6,397 crore in Q4 FY21 (excluding bullion sale) as customers adopted a wait-and-watch approach, it said.
The jewellery business reported an 80% jump in earnings before interest and taxes (EBIT) of Rs. 3,040 crore for the full year FY22; and saw an 11% increase in its Q4 EBIT to Rs. 780 crore (before exceptional items).
The company said that while walk-ins saw a minor decline, ticket sizes grew 3% y-o-y, and the conversion percentage remained healthy. Studded jewellery revenues grew 7% y-o-y and ratio in the overall mix improved by ~400bps. The plain jewellery segment declined by 4% y-o-y. The impact was also visible in the wedding category with ~9% y-o-y decline in revenues. Other categories, however, grew by 2% y-o-y thereby cushioning the overall impact, Titan noted.
C.K. Venkataraman, Managing Director of Titan Company, said: “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 Q1 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 further added (net) 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 of March 2022.
Titan said Caratlane continued to do well in both online and offline channels emerging as a strong omni player. The annual revenue was Rs. 1,256 crore and a profit of Rs. 39 crore (before taxes and exceptional items) compared to revenue of, 716 crore and profit of, 2 crore in FY21. In Q4 of FY22, CaratLane clocked a revenue of Rs. 365 crore and a profit of Rs. 11 crore (before taxes and exceptional items) compared to revenue of Rs. 253 crore and a profit of Rs. 10 crore in Q4 FY21.