Titan net up 7.5% in Q4; 9.2% in FY 2017

Titan Company Ltd on Friday reported a Rs 201 crore net profit for the fourth quarter (Q4) of fiscal 2016-17, registering 7.5 per cent year-on-year (YoY) growth from Rs.187 crore in the same period of the previous fiscal.

In a regulatory filing on the BSE, the city-based watches and jewellery maker said net profit for the fiscal under review (FY 2017) grew 9.2 per cent YoY to Rs.762 crore from Rs 698 crore in FY 2016.

"Total income for the quarter under review (Q4) grew 44 per cent YoY to Rs 3,487 crore from Rs 2,423 crore in the like period year ago," said the filing.

Total income for FY 2017 grew 14 per cent YoY to Rs 12,782 crore from Rs 11,179 crore in FY 2016.

Sequentially, net profit for Q4 (Rs 201 crore), however, declined 26 per cent quarter-on-quarter (QoQ) from Rs 253 crore in the third quarter (Q3).

Income too declined 10 per cent QoQ for Q4 (Rs 3,487 crore) from Rs 3,880 in Q3.

Consolidated net profit for FY 2017 increased 24 per cent YoY to Rs 1,077 crore from Rs 868 crore in FY 2016, while consolidated income grew 16 per cent YoY to Rs 13,171 crore for FY 2017 from Rs 11,384 crore in FY 2016.

"The fourth quarter (January-March) was a good quarter for us, with 44 per cent YoY income growth and 14 per cent for the fiscal (FY 2017), which came in the backdrop of a changing environment and demonetisation," said the company in a statement here.

The jewellery business, which crossed the Rs 10,000-crore mark in the fiscal under review, grew 17.4 per cent to Rs 10,237 crore on the launch of many collections and effective wedding campaign.

The watches business, however, grew 2.7 per cent to Rs 2,028 crore in the fiscal. Income from Eyewear business was Rs 406 crore, recording 8.4 per cent YoY growth owing to network expansion strategy.

Income from other businesses comprising accessories, fragrances and sarees grew 18.4 per cent YoY to Rs 65 crore.

"Fiscal 2016-17 was a satisfying year in terms of performance, given the market conditions. The strength of our brands and the reach of our retail and distribution network were tested in a difficult environment," noted Titan Managing Director Bhaskar Bhat in the statement.

The company's board declared a dividend of 260 per cent or Rs 2.60 per share of Rs 10 face value for its shareholders for the fiscal 2016-17.

The 33-year-old company is a joint venture of the Tata Group and the Tamil Nadu Industrial Development Corporation, with its main plant at Hosur across the Karnataka border in the neighbouring southern state.

--IANS

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