Watches and accessories maker Titan Company Ltd on Wednesday secured a 14.4% jump in its consolidated net profit for the quarter ended March 31, while revenue at the maker of Titan watches and Tanishq jewellery increased 19%. The company’s jewellery business recorded a decent performance for the quarter, while its profit after tax came below estimates on account of one-offs during the quarter.<\/p>\n
Consolidated net profit for the fourth quarter of FY19 was at\u20b9<\/span>348.3 crore from\u00a0\u20b9<\/span>304 crore in the same quarter last year, while total revenue stood at\u00a0\u20b9<\/span>4,945 crore up from\u00a0\u20b9<\/span>4,125 crore on a year ago basis.<\/p>\n During the quarter, the company made provisions to the tune of\u00a0\u20b9<\/span>46 crore for investments made as part of treasury operations in inter-corporate deposits in the IL&FS Group.<\/p>\n With the factors in mind, the numbers actually came above expectations, jewellery continued to hold a strong show.<\/p>\n For the full year, consolidated income stood at\u00a0\u20b9<\/span>19,779 crore, while consolidated net profit was\u00a0\u20b9<\/span>1,389 crore.<\/p>\n During the year, the company witnessed a net addition of 115 stores.<\/p>\n The growth momentum of the past few years continued in 2018-19 backed by the strong revenue as well as profit growth across all key divisions, managing director said in a press release.<\/p>\n Titan had three one offs in the quarter of which one will reverse in coming quarter. Gold valuation at year end took a hit due to lower gold prices in the latter half of the quarter resulting in margins being behind by\u00a0\u20b9<\/span>37 crore, said an analyst. He added that it could be largely reversed in the next quarter. He said the results were in line with expectations.<\/p>\n Segmental performance at Titan was mixed with its jewellery business holding a strong double digit growth.<\/p>\n The company’s jewellery business, shot 22% to\u00a0\u20b9<\/span>4,105 crore during the quarter while profit for the business stood at\u00a0\u20b9<\/span>499 crore in the March quarter. The watches segment grew modestly at 8% to\u00a0\u20b9<\/span>531 crore in FY19. Gross margins in watches were disappointing on account of weak sales and has been volatile.<\/p>\n However, the company has maintained its growth outlook for FY20 at 20%. In a post-earnings call, the company’s management said that it was already seeing a strong demand in the year-to-date period (i.e. April 1 2019 onwards) where it has witnessed a 19% growth in jewellery business.<\/p>\n","protected":false},"excerpt":{"rendered":" Watches and accessories maker Titan Company Ltd on Wednesday secured a 14.4% jump in its consolidated net profit for the quarter ended March 31, while revenue at the maker of Titan watches and Tanishq jewellery increased 19%. The company’s jewellery business recorded a decent performance for the quarter, while its profit after tax came below […]<\/p>\n","protected":false},"author":1,"featured_media":5066,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8],"tags":[3847,3846,3848],"class_list":["post-5065","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-india-inc","tag-tata-company","tag-titan","tag-watches"],"aioseo_notices":[],"yoast_head":"\n