Titan reports a net decline of 14 per cent in 2014-15

Tata Group’s watch and jewellery major Titan Company reported a Rs 706 crores net profit for 2015-16, registering a 14.2 per cent decline from Rs 823 crores in 2014-15. This is a result of weak market conditions. Even on a consolidated basis, net profit declined 15.4 per cent to Rs 690 crores from Rs 816 crores.

Standalone income from net sales at Rs 11,177 crores was 5.2 per cent less in 2015-16 than Rs 11, 791 crores in 2014-15. Consolidated income too declined 5.2 per cent to Rs 11,180 crores from Rs 11,801 crores in 2014-15. The reason for this dip is weak market conditions and new regulatory curbs on jewellery business. Profit before tax declined 17.5 per cent to Rs 871 crores from Rs 1,056 crores year ago on standalone and to Rs 855 crores from Rs 1,049 crores on a consolidated basis. Of the total sales, watches contributed Rs 1,954 crores, 1.7 per cent down over the previous year, and jewellery segment Rs 8,717 crores, a decline of 7.6 per cent. Income from eyewear business, on the other hand, was Rs 372 crores which is an increase of 11.8 per cent. Other businesses, including precision engineering, accessories and fragrances accounted for Rs 235 crores for the fiscal.

Titan added 82 stores for its brands, taking the total to 1,283 across the country, with 1.7 million square feet of retail space.