Tribhovandas Bhimji Zaveri Limited, India’s renowned and trusted jewellery retailer with a legacy of over 149 years, reported its audited results and financial performance for the fourth quarter and financial year ending 31st March 2014.
The total income from operations during FY14 grew 10% YoY to Rs. 1,824crores. FY14 EBITDA declined by11% to Rs. 133crores with an EBITDA margin of 7.3%. FY14 PAT declined by35% to Rs. 55crores with a PAT margin of 3%.
The total income during Q4 FY14 was flat at Rs. 447crores. Q4 FY14 EBITDA declined by28% to Rs. 32crores with an EBITDA margin of 7.2%. Q4 FY14 PAT declined by 53% to Rs. 12 crores with a PAT margin of 2.6%.
The company reported stable operating performance during the year, despite facing a challenging business environment, marked by economic slowdown, persistent high inflation, weak consumer sentiments and unfavourable regulatory environment, leading to subdued jewellery demand in this period.
Under these difficult operating conditions, the company remained focussed on growth of sales while keeping operating costs and debt within acceptable limits. The company took a judicious decision to go slow on store expansion and focussed more on improving the performance of the existing stores through improved same-store sales, customer footfalls and steady margins. While ensuring sufficient gold supplies at all existing 27 stores, the company remained determined on stimulating customer demand by introducing appealing jewellery designs, tactical discounts and innovative marketing strategies.
The total dividend this year amounts to 22.50%, the Board of Directors having recommended a dividend of Rs. 2.25 (two rupees twenty five paise) per equity share which comprises of Rs. 1.50 (one rupee fifty paise) per equity share of Rs. 10 each i.e. 15 % (Previous year: Rs. 2.25 per equity share i.e. 22.50%) and special dividend of Rs. 0.75 (seventy five paise) per equity share of Rs. 10 each i.e. 7.5 % on the special occasion of completion of the 150th year of the organization. The payment is subject to approval of shareholders in the ensuing Annual General Meeting.
Shrikant Zaveri, Chairman and Managing Director of the company stated that “We have successfully navigated through one of the toughest times seen over the last decade and have emerged stronger to gain from the improving economic scenario in the coming year. We remain committed to investing in our future through calibrated expansion of our domestic operations withimproved product offerings, innovative jewellery designs, and trained sales team which will help us replicate our strong performance criteria in all our stores across India.”