Titan ticks down in Q4 sales

Bengaluru: Titan, jewellery-to-watches maker, reported a slight decline in jewellery sales in the January-March quarter of 2022 (Q4 of FY22) owing to Omicron-related disruption and high gold prices during this period.

The Tata Group company, which draws majority of its revenues from the jewellery division, said that jewellery sales were down four per cent year-on-year (y-o-y) basis though underlying demand remained strong.

"Jewellery division ended the volatile quarter on a flat note over a strong Q4FY21 base (had a benefit of a large B2B order). Business saw subdued activity in top cities due to the Omicron wave in Jan 2022, a very strong resurgence in Feb 2022 and again a drop in customer purchases in Mar 2022 on the back of sharp rise in gold prices and sentiment impact due to the external geo-political conflict," said brokerage firm Edelweiss in a report.

According to the company, though the plain jewellery category bore the brunt of gold volatility in March 2022 leading to a slight decline for the quarter, studded sales clocked in a high single digit growth, thereby partially cushioning the impact.