Mumbai:Titan Company released its annual report for the financial year 2019-20. In the part about its outlook for the business for the current financial year 2020-21, the Tata Group company said that it is expecting its businesses to be hit “very substantially” due to disruptions caused by COVID-19 pandemic.
“The lockdown necessitated by the COVID-19 pandemic is expected to hit the Company’s businesses very substantially in the financial year 2020-21. The Company expects the economy to shrink, and tight regulations on operations of stores to continue for some time. Customers can also be expected to be wary of stepping out of their homes for some time,” it said.
The company added that its focus during 2020-21 will be on cash flows and optimising spends to ensure liquidity.
“With job losses expected to increase substantially and salaries expected to fall or stay flat at best, spends on discretionary products could get affected more. However, the Company also expects customers to spend relatively more on jewellery compared to other discretionary spends as gold jewellery continues to be a valuable store of value,” the statement said.
