The Titan Company revealed sales for its jewellery segment dropped 4% year-on-year in the fourth quarter (Q4) of FY22 amid the “sharp” rise in gold prices and sentiment impact following the external geo-political conflict from Russia.
The plain jewellery category reportedly “bore the brunt” of gold volatility in March 2022, leading to a slight decline for the quarter, although sales clocked in high single digit growth, thereby partially cushioning the impact.
While walk-ins saw minor decline, the customer conversions and ticket sizes grew marginally for the quarter compared to the same period last year.
Overall, the business saw “subdued activity” in its top cities due to the Omicron wave in January 2022, a “very strong resurgence” in February 2022, and a further drop in customer purchases in March 2022.
Golden Harvest enrolments also witnessed double digit growth rates. Store expansions continued as per plan with the commissioning of seven new stores in the Tanishq jewellery brand, eight in Mia by Tanishq and one in Zaya.
Additionally, during the quarter, the company acquired a minority stake in Great Heights Inc. to “deepen” its understanding of lab grown diamonds.
Looking forward, Q1 FY23 is expected to be “normal” after a gap of two years of lockdowns in the same period.