TBZ slumps after Q4 PAT tumbles 72% YoY

6 May 2022 , 12:33 PM

Profit before tax (PBT) fell 73.65% year-on-year to Rs 2.84 crore in Q4 March 2022. EBITDA decreased 24.32% YoY to Rs 15.44 crore during the quarter. EBITDA margin stood at 3.58% in Q4 FY22, lower than 5.57% in Q4 FY21. The total income from operations during FY22 increased by 37.40% YoY to Rs 1843.84 crore. FY22 EBITDA decreased by 40.19% YoY to Rs 72.35 crore with an EBITDA margin of 3.92%. FY22 PBT decreased 61.68% YoY to Rs 22.88 crore with a PBT margin of 1.24%. FY22 PAT decreased by 60.29% YoY to Rs 17.11 crore with a PAT margin of 0.93%. The board recommended a dividend of Re 1 per equity share for the financial year ended 31 March 2022. Shrikant Zaveri, chairman and managing director of the company, stated: During the 4th quarter, the revival in demand and consumer sentiments was unfortunately negated to an extent by strong headwinds in the form of the geo-political situation. This had a dual adverse impact; a rise in gold prices and overall inflationary pressures, leading to lesser purchasing power & lower disposable income in the hands of consumers. Despite that, the company witnessed growth on account of higher footfalls at the stores and high conversion driven by focusing on customer-centric communication by way of strategic advertising and marketing including tactical offers, product-specific campaigns, strengthened visibility across social media, best price of gold jewellery in the industry and strong brand recall. During the quarter, the increased marketing spend was strategically planned to create higher demand during the festive & wedding occasions in Q1 FY23, which has shown encouraging trends. The companys key focus during FY23 will be on acknowledging & reciprocating customer loyalty, increasing market share by expanding the customer base & reach and deeper penetration into the hitherto untapped markets by opening new stores. For FY23, our focus will be on increasing market share & revenue growth, as also remain firmly committed towards increasing profitability. Tribhovandas Bhimji Zaveri is Indias renowned and trusted jewellery retailer with more than 150 years of legacy. The company has 31 stores operating in 25 cities. Powered by Capital Market – Live News