Titan Company Limited (500114) Earnings Call Transcript & Summary

Dear shareholders, good afternoon and a warm welcome to all of you to the 39th Annual General Meeting of Titan Company Limited through videoconferencing or other audiovisual facilities. [Operator Instructions] Please note that as per the requirements, the proceedings of the Annual General Meeting will be recorded and available on the website of the company. I now hand over the proceeding to Mr. Dinesh Shetty, Company Secretary of Titan Company Limited.

Thank you, operator. Good afternoon, shareholders. This is Dinesh Shetty, General Counsel and Company Secretary of Titan Company Limited. I'm very pleased to welcome you to the 39th Annual General Meeting of the company held through video conferencing in compliance with all applicable laws. I would like to inform you that Mr. S. Krishnan, Chairman of the company, will conduct the proceedings of the 39th AGM from his office in Chennai. Now I'd like to take you through certain points regarding the participation at this AGM. [Operator Instructions] Thank you. And may I now request the Chairman to take forward the proceedings.

Good afternoon, ladies and gentlemen. I would like to welcome all the shareholders to the 39th Annual General Meeting of the company. As the requisite quorum is present, I now call the meeting to order. First, Mr. N N Tata, Nominee Director of Tata Sons.

Good afternoon, shareholders. I'm a Non-Executive, Non-Independent Director of the company, and I'm joining this meeting from Mumbai.

Ms. Jayashree Muralidharan, Nominee Director of TIDCO.

Good afternoon, shareholders. I'm a Non-Executive, Non-Independent Director of the company, and I'm joining the meeting from my office in Chennai.

Ms. Mariam Pallavi Baldev, Nominee Director of TIDCO.

Good afternoon, shareholders. I'm a Non-Executive, Non-Independent Director of the company. I'll be joining the meeting from my office in Chennai.

Mr. Bhaskar Bhat, Nominee Director of Tata Sons.

Good afternoon, shareholders. I'm Bhaskar Bhat, Non-Executive, Non-Independent Director of this company, joining this meeting from Integrity, the corporate office of Titan Company Limited.

Ms. Sindhu Gangadharan, Independent Director.

Good afternoon, shareholders. I'm joining the 39th AGM Meeting of Titan from Ahmedabad.

Mr. Ashwani Puri, Independent Director.

Good afternoon, shareholders. I'm an Independent Director of the company and I chair the Audit Committee in Titan. I'm joining this meeting from Bengaluru.

Mr. B. Santhanam, Independent Director.

Good afternoon, shareholders. I'm an independent director of the company, and I chair the Nomination and Remuneration Committee and the Stakeholders Relationship Committee in Titan. I'm joining the meeting from my home in Chennai.

Mr. Pradyumna Vyas, Independent Director.

Good afternoon, shareholders. I'm an Independent Director of the company. I chair the Corporate Social Responsibility and Ethics Committee in Titan and I'm joining the meeting from Ahmedabad.

Mr. Mohanasankar Sivaprakasam.

Good afternoon, shareholders. I'm an Independent Director. I'm joining the meeting from Chennai.

Mr. Sandeep Singhal, Independent Director.

Good afternoon, shareholders. I'm an Independent Director of the company, and I chair the Risk Management Committee. I'm joining the meeting from Mumbai.

Mr. C.K. Venkataraman, Managing Director.

Good afternoon, shareholders. I'm joining this meeting from Titan's corporate office in Bengaluru, apart from Mr. Bhaskar Bhat; Mr. Ashok Sonthalia, Chief Financial Officer of the company; and Dinesh Shetty, General Counsel and Company Secretary, are sharing the dais with me.

Thank you to all my colleagues on the Board for your introductions. We also have the secretarial auditors and the statutory auditors attending this meeting. I thank all the members for joining this meeting. Hope all of you are safe and in good health. This meeting is being held through video conference in accordance with the circulars issued by the Ministry of Corporate Affairs and SEBI. A live streaming of this meeting is also being webcast on the NSDL's website. The company has taken the requisite steps to enable members to participate and vote on the items being considered at this AGM. The annual report for the financial year 2022-'23 was sent to all the shareholders through e-mail in compliance with the directions of the Ministry of Corporate Affairs and SEBI. For your information, since there's no physical attendance of members, the requirement of appointing proxies is not applicable. The company has received 6 authorized representations from corporate shareholders appointing representatives under Section 113 of the Companies Act 2013 in respect of INR 471,007,920 ordinary shares, representing 53.06% of the paid up equity capital. The registers as required under the Companies Act 2013 are available for inspection. Notice of this meeting was sent to the members by electronic means to those who are entitled to receive the same. With your kind permission, ladies and gentlemen, I take the notice as read. Since there's no observation, qualification or comment by the statutory auditors in their report on the financial transactions or matters which have any adverse effect on the functioning of the company, pursuant to Section 145 of the Companies Act 2013, the auditor's report is not required to be read. Now, I take this opportunity to read out the Chairman's statement. Ladies and gentlemen, I welcome you all to the 39th Annual General Meeting of your company which is being conducted virtually pursuant to the relevant circulars issued by the regulatory authorities. Before I proceed to the company's performance during the last financial year, I would like to draw your attention to the theme of this year's Annual General Meeting and the annual report sent to you, which is Technology that Matters. With customer needs and preferences evolving, and technology taking center stage in every sphere of activity, this theme perfectly encapsulates your company's commitment to modernization by fusing its renowned design capability with the power of technology, engineering and manufacturing. The result of this amalgamation is a wide array of exquisite products which not only continues to delight customers, but is also pathbreaking in terms of product innovation in equal measure. Some of the transformative innovations undertaken include the rapid prototyping 3D printing technology, 3D scanning, warehouse automation system in the Jewelry division, reimagining watch manufacturing, building the next generation of smart watches and the introduction of Titan EyeX and Titan Ultima in the Eye Care division. Technology has also played a crucial role in driving customer experiences with strengthening of the omnichannel enhancing customer loyalty with tracking of Net Promoter Score, et cetera. Therefore, it is befitting that this year's annual report celebrates the quiet but significant role that technology, engineering and manufacturing play in creating our much-loved products. In addition to the technological advancements made, your company also aggressively focused on being vocal for local. By reducing the dependency on other international markets, thereby giving a boost to the Make in India efforts, especially in the watches and wearables and the Eye Care divisions. The year saw the global economy rebounding from the pandemic and India also not only recovered strongly, but also emerged as a force to reckon with in the global economy. India is now the world's fifth largest economy and is poised to grow to be one of the top 3 economic powers in the world over the next 5 to 10 years. Specifically, the retail industry also saw a turnaround with exponential development taking place not just in major cities and metros but also in smaller cities and towns. Healthy economic growth, changing demographic profile, increasing disposable income, urbanization and changing consumer tastes and preferences have been some of the factors driving growth in the organized retail market in India. In the backdrop of this economic resurgence, coupled with superlative capabilities, your company ensured an excellent financial performance. The company's total revenue grew by about 40% to INR 38,569 crores. The Watches and Wearables division recorded a revenue of INR 3,296 crores, a growth of about 43%. The revenue from Jewelry division grew by about 37% earning INR 31,897 crores. The revenue from Eye Care division grew by about 33% to INR 689 crores. Indian dress wear division and the Fragrances and Fashion Accessories division recorded a revenue of INR 295 crores, a growth of 92% over the previous year. While the Indian dress wear division grew by 168%, the Fragrances and Fashion Accessories recorded a growth of 56%. As always, it is the relationship which your company has with its customers, distributors, franchisees, vendor partners, the community and the continued efforts towards driving project innovation, retail expansion, strengthening of brands and the passion and commitment of the titaniums which played a valuable role in the stupendous business performance across all categories. Considering your company's stellar performance in the financial year 2022-'23, the Board has recommended a recommended a dividend of INR 10 per equity share, which is the highest ever dividend recommended for approval. I will now share a few updates from each of our businesses. The jewelry division's revenue growth remains strong despite disruptions faced by the diamond supply chain, owing to the geopolitical tensions and gold price fluctuations. The division's journey to deepen its presence in underpenetrated markets, new geographies and strategic markets like Tamil Nadu continues. And as a testament to this initiative, this division added over 100 new stores to its network. Brands Tanishq, Mia by Tanishq and Zoya continue to win consumers' hearts through exceptionally crafted products and compelling campaigns to engage the consumers. The company, through its subsidiaries, expanded its presence in the international markets with 6 new stores in the UAE and 1 store in New Jersey in the United States with a few more in the pipeline. CaratLane also continued to grow and during the year, it refreshed its product portfolio by introducing several attractive offerings at competitive prices. The Watches and Wearables divisions exhibited an excellent financial performance on the back of growth in both the analogue and smart watches segment, improving margin profile, premiumization across brands, improved channel mix and increased domestic manufacturing over the course of the year. Innovation being the key driver, helped the division refresh its product range across brands and introduce a slew of new exciting products in both the analogue and smart watch segments. Like other businesses, the Eye Care business also posted strong growth. The division strategy of expanding its stores rapidly and introducing premium products proved successful in driving impressive top line growth. The division continues to expand the Titan Eye+ store network and during FY '22-'23, the division added 180 new stores to strengthen its presence both in metro cities as well as in smaller towns. Additionally, the division has taken the first step towards exploring international markets by opening the first Titan Eye+ store in Dubai. The Fragrances and Fashion Accessories business also saw a resurgence with consumer behaviors resuming to pre-pandemic levels. SKINN by Titan strengthened its position in departmental store chains, competing with top international brands, while maintaining its status as one of the top-selling brands in several multi-brand outlets. The division also launched SKINN Nox and SKINN Noura to improve premium product portfolio. With respect to the accessories category, Fastrack bags continue to offer trendy fashionable designs with exceptional quality. However, the highlight of the year was the launch of the new brand, Earth. Earth is positioned to provide organized styling solutions to women who are leading active lifestyles with each bag thoughtfully designed to enhance consumer delight based on their needs and requirements, thereby elevating their everyday lives. The Indian dress wear division exhibited robust performance across all business areas. During FY 2022-'23, Taneira made significant strides in expanding its operations and in order to cater to a wider audience opened 21 new stores, thereby doubling its retail footprints to a total of 41 stores. Beyond catering to the consumers -- customers, the brand in an endeavor to keep the textile heritage of India thriving and to give back to the ecosystem, launched an industry-first initiative called Weavershala during the year. This initiative aims to modernize techniques while preserving the art of hand weaving for future generations and transform lives of the masters behind the loom with significantly enhanced working conditions for the craft person. Being a responsible corporate citizen, your company continued to support the community through targeted efforts focused on the upliftment of the underprivileged girl child, skill development for the underprivileged, support for Indian arts, crafts and heritage and at the same time, work towards creating a long-term engagement with deep impact towards all the communities that we serve. Your company will continue to grow responsibly by creating value for all stakeholders, including employees, business partners, vendors, communities, investors, our nation and our planet. In conclusion, I would like to thank the entire Titan ecosystem comprising our shareholders, customers, employees, business associates, franchisees, vendors, suppliers, bankers, and the media for their continued support, trust and cooperation. On behalf of the Board, I would like to place on record our appreciation for the hard work, dedication and efforts of the management for their accomplishments during the year. Thank you. I now request the company secretary to explain the sequence of the meeting and the process of voting on the resolutions in the meeting.

Thank you, Chairman. The Companies Act 2013 and SEBI listing regulation provides for facilitating electronic voting on the resolution as covered in the notice of the AGM. Accordingly, the company has provided its members the facility to cast their vote through the remote e-Voting system administered by NSDL. Facility for voting all at the meeting is also provided for members present here through video conference and who have not voted yet. Members may please go to the voting page of NSDL e-Voting website and cast their vote while at the same time watch the proceedings of this meeting. Mr. Pradeep Kulkarni, Practicing Company Secretary, has been appointed as scrutinizer to scrutinize votes cast at the meeting and through remote voting process. Since the AGM is being held through video conference or other audio visual means and the resolution mentioned in the notice convening this AGM have been already put to vote through a remote e-Voting, there will be no proposing or seconding of the resolutions. May I now request the Chairman to continue with the proceedings.

I now request those members who have registered to speak to ask the questions one by one.

Ladies and gentlemen, we will now begin the question-and-answer session. [Operator Instructions] We now invite our first speaker member, Mr. [ Arun Kumar Boppana ]. [Operator Instructions] We will wait for a moment while Mr. [ Boppana ] unmutes their audio and video connection.

Yes, good afternoon, everybody. Thanks to the CS team for the cordial relations maintained over the years and compliment for the growth in top line in the PAT and the highest ever dividend too. So proud that Titan did develop, deliver and delight us for 40 years, fulfilling aspirations, being a source and a resource, and it’s time to reflect on Titan from Bhaskar Bhat times, for where we are today, how we got here, where we wish to go, how we intend to go there or what to expect in future. I think Venkat has to take it forward. And after Rakesh Jhunjhunwala's ride in stocks, Titan became much more famous. I think we've got free publicity too. The outstanding feature of this year's balance sheet is, the CS team has taken initiative on Page 191 relating to IEPF, which is remarkable and pathbreaking. Sir, I have stocks in a Tamil Nadu company, government company, Tanfac, and the RT agent gave me a 3-page of instructions without any clarity. When I call them, there was nothing forthcoming. But here, I'm very proud that Titan is helping the shareholders getting the shares and dividends from IPF. Here in lighter vein, I would like to remind the American President Ronald Reagan said, "I'm scared of 9 words. I'm from the Government, I've come to help you." But here, we have made a change and we're helping. I'm very proud of Titan. And my question is, what was the cost of celebrity endorsements in Titan? What was the average order before Corona? What is average order after Corona? Now I think 50 airports and there's a lot of increase in infra spend. How many stores are we flying with our 4 decades of expertise and experience? Enumerate the contribution of new products? How are our products positioned in pricing, promotions, profitability and market share? What were the key developments of FY '22-'23 in brand building and value-added products? What are the opportunities and threats? What are the major HR initiatives to create next-gen lasers at every level? And what is the average employee age and employees agenda? And how do you get the next-gen leaders who understands new edge fashion trends to meet changing customer needs? Lastly, the GDP is expected to grow at 6.8% -- 6% to 6.8%, the future will be good for Titan? In conclusion, Titan will continue to reform, transform and perform meeting aspirations and achievements, making the demand with delivery. While the past can only be remembered, the present has to be experienced, but future has to be crafted. I wish under the leadership of Venkat, Titan will move forward and I wish you all of best. Thank you.

We now move to our next speaker shareholder, Mr. Hari Rao. [Operator Instructions]

Honorable Chairman, Managing Director, Directors of the company, my name is Hari Rao. My registered number is [ A3000018312775985 ]. At the outset, I must compliment the company for bringing out a benchmark annual report with disclosures, functioning of different subcommittees and, of course, detailed financials to set a great benchmark. I wish to start my observation on the published Annual Report from the last Page 398. Considering the revenue of the company in 2019, '20, the pre-pandemic year, stood at INR 20,010 crores, which in the present year under consideration, 2023, has risen to INR 38,270 crores and if we look at the consolidated revenue of INR 40,883 crores. Corresponding to an increase of almost doubling within the 3 years, I think this is something which is extraordinary, the incredible performance indeed. I must congratulate everybody, particularly our Managing Director, who has led the team to this level. On behalf of shareholders and myself, I wish to congratulate the management, the employees ably led by our Managing Director, Mr. Venkataraman. It is no wonder that he is a recipient of the CEO of the year by Forbes India. I wish to congratulate you with all my heart and we've seen many, many, many more years of service. The company's commitment to technology upgradation of both products as well as process has been significant. New products, Titan EyeX, Ring Master, progress of all activities demonstrate significant progress for the company in technology. These have propelled all round development in progress. Our social outreach to society through CSR initiatives needs special mention. Supporting girl child education; sustained support to MEADOW through MYRADA, which we started long ago; development of -- development and support of Karigar establishment, development of weavers and many of the skill-building diversification are very fine initiatives. Our country is poised for expansion in different production indigenization as well as aero, naval and vibrant auto market as well as IC chip manufacturer initiatives in telecom, et cetera. These open opportunity in each of these areas. With the immaculate technology progress and strength of our own team, management may look into these sectors and perhaps even think of substantially expanding our capacity and capability. I also congratulate the in-house innovation Edge Mechanical watch. This is a very important issue because after all the original Edge business converted there, another very important in-house effort. Once I was contacting J.R.D. Tata around our works, and he remarks, if you pursue perfection, then perhaps we will reach excellence. Since we have to a large extent reached excellence, time for us to strive for perfection, to compete with world leaders, particularly with our watches. Despite invasion by our core technology revolution, changing course of watchmaking as well as IoT and industry 4.0, now 5.0, since continued to lead the industry with their mechanical watches because of the relentless pursuit of perfection even from our -- from their tiny watchmakers. May I therefore suggest a far increased scale in perfecting our watches and other products followed by communicating the excellence to our customers. Once again, I congratulate management for their spectacular achievement and recommendation of a dividend of INR 10 per share, which as a shareholder, highly appreciate and accord my approval. Needless to say, it has also played a role in our share prices reaching the highest ever resulting extraordinary market value for the company. I sincerely thank the Chair for giving me the opportunity to speak on this occasion. Thank you, sir.

We now move to our next speaker member. Mr. [ K. Sadanand Sastry ] who has registered but did not join. Next speaker member, Ms. [ Prakashini J. Shenoy ] has also registered but did not join the meeting. Hence, we'll invite Ms. [ H. S. Patel ] to accept the prompt on the screen, unmute your audio and video, and you may proceed with your question. We'll wait for a moment while Ms. [ H. S. Patel ] unmutes the audio and video connection. I'm sorry, we are unable to hear you due to possible network issue. We will contact you and if your connectivity improves, we'll announce your turn again. We now invite our next speaker member, Mr. [ Bimal Kumar Agarwal ]. [Operator Instructions]

This is [ Vinod Agarwal ], joining the panelists. Chairman, Mr. S. Krishnan; Vice Chairman, Mr. Noel Tata; and MD, C.K. Venkataraman; CFO, Ashok Sonthalia; and CS, Dinesh Shetty. Good afternoon and glad to see everyone. I voted for all these 7 resolutions sought to be passed in today's AGM. And I was contacted by Madam Sarika from the CS team for the AGM of today, and she sent with the hard copy well in time. Otherwise, I would have not received the hard copy, sir. So, our share price has been rocketing like...

Hello, can you hear me? Yes. Good afternoon to everyone. First of all, I thank the company's secretary and his team and also the management, staff and the shareholders...

Sir, share price of the company has been skyrocketing with the good performance that has been given. It has already crossed INR 3,000 for the first time after all those splits and all those things, sir. It has really gone to INR 3,000 plus. Sir, our revenues were INR 3,856 crores, which was up 41% over the previous year. It's a very good performance. And the PAT also increased to INR 3,323 crores, up 53% from 2,180 crores, very good. Now, only thing is that the revenue came mostly from Tanishq INR 31,897 crores, that's about 80% plus revenues coming only from one section. The Watches section was about 8.5%, INR 3,296 crores was the revenue and the EyeCare was INR 689 crores. It was only about 1.75% of the revenue, sir. And we've got -- the other sections, sir, bags, Taneira, perfurme, they are there. They are giving sales to our company, but their revenue are 1%, 2%, 3%. That's the negligible amounts. And Venkat ji, I have been telling you since the past couple of years to come into a space like Lladro, porcelain this thing. It's a low-cost, high-margin product, which our company is pan-India. When I see, it's our company which can get into that low cost, high margin business of Lladro kind of porcelain, figurines, you can easily enter, sir. And you can easily create a brand. You can easily market that thing. And this is my heartfelt feelings for this company, sir. Because I've been associated with this company since long, and I come and all the studies, sir, the past 3 years. Gold figurines and silver figurines, you're already doing it. That's what I learned from Madam Sarika. Sir, you were Launching new products last year. Titan EyeX. It is for OEM, it is mostly meant for this virtual meeting, I understand, sir. It is sound depreciating thing and high-quality visual within the eye glass. So I suggest that if you're doing it next year OEM, only for the meeting, you cent percent take it back, sir, to have that experience of having a meeting conducted through the OEM, if you're doing it next year, sir. This is my suggestion, sir. Otherwise, how do you know, what it is? The Benzinger machine you launched for rings, the Edge mechanical watches of 2.2 million and the only point of concern within our balance sheet was of the losses being made in the Switzerland unit of watches. Favre Leuba brand you've been trying to sell -- you've been trying to find a buyer. I hope you'll be able to do that soon. And I compliment the management for all the awards received mentioned on Page 94 and 95. The CSR of INR 42 crores also is good, sir. I wish the company all the best to come out with better results even than this, next year and better dividend than this year. Thank you, sir. Signing off, Vinod Agarwal from Mumbai. Now you may give time to Bimal, sir, now.

Now we'll invite Mr. [ Bimal Kumar Agarwal ]. [Operator Instructions] We will wait for a moment while Mr. Agarwal unmutes the audio and video connection.

Good afternoon to everyone. First of all, I thank the Company Secretary and his team, Sarika madam. And also the hosts and the Chairman and the staff of the -- staff of the company and the shareholders. As Chairman has given a very lovely speech, and I just got one question. What are our earnings in dollars in all the segments? And what are the land bank we got? And any chance of going into mobile segment? Manufacturing of mobile because it's a large-scale market anywhere in the world. Please see into mobile market. That's all from me. Thank you very much. Again, I thank the company secretary and his team.

We now invite our next speaker member, Mr. [ Tamal Kumar ]. [Operator Instructions] We will wait for a moment while Mr. [ Tamal Kumar ] unmutes the audio and video connection.

Respected Krishnan saab, Noel Tata saab, Bhat saab, and Mr. Venkataraman, Mr. Puri and other directors of the company. Myself, Tamal Kumar Mazumdar [indiscernible] shareholder of Titan, joining from Mumbai. My special thanks to our Company Secretary, Dinesh Shetty and his team. It consists of [ Sarika Gokul ] and others for sending me the hard copy of the annual report, as well as lead for the meeting well in advance so that I may do my homework and attend the meeting. Thank you, Mr. Chairman, for sharing your thoughts with us. I've got through the annual report. I have some queries and seek your indulgence. So during the year, the company declared excellent results. As a stand-alone segment account, Page 287, Jewelry was the main contributor with 92.7% of the profit before interest, depreciation and other [indiscernible]. Then distant second is Watches and Wearable with 8.77% contribution and others with a negative 1.66% contribution. And as per quarterly update dated 6th July 2023, signed by the CFO showed that during Q1 of financial year '24, jewelry grew 21% year-to-year growth, watches 13%, eyewear 10%, and emerging business 37% growth, making TCL standalone growth at 20% during the quarter. Whether the Q1 of financial year '24, results announced today carried with the previous announced on 6/7/2024. Because it was an announcement to the stock exchanges by the CFO of the company. It was an announcement made on 6th July. And what is your profit growth during Q1 of financial '24? And what is your expectation from the remaining part of the year? Sir, the company added a new Tanishq store in Sharjah, thereby making 7 stores in GCC region and 1 store in U.S A. Whether under geographical information in Page 370, revenue from others of INR 1,282 crores, relates to turnover from GCC and U.S.A. during financial year '23. What was the contribution of GCC and the U.S.A. stores in our turnover and profitability during financial year '23 and Q1 of financial year '24? Sir, it is noted that growth in emerging new business, which includes Taneira during Q1 of financial year '24 was substantial. Whether it became profitable during Q1 of financial year '24 -- Taneira became profitable during Q1 of financial year '24? Sir, during Q1 of financial year '24, the company directly added 57 stores. In addition to CaratLane's addition of 11 stores, what is the target in this segment for the remaining part of the year? Opening of stores is concerned? You opened 68 stores during the first quarter. And out of INR 2,768 crores, including CaratLane's 233 stores as of 31st June -- 30th June 2023, how many stores are losing money as of date? Whether all are making profits or some units are losing money? And sir, during financial at '23, our foreign exchange outgo was INR 1,067 crores and was more than inflow of INR 870 crores. Do you believe that it will become positive within a period of 5 years' time? Sir, during financial '23, out of total sales on a stand-alone basis, traded goods relating to jewelry contributed 30%. Traded goods was 30% of the jewelry sales, watches 25% and eye care was 82%. Why such huge dependence on traded goods? What about its profitability? Whether the same trend is continuing during the current year -- Q1 of financial '24 and the remaining part of the year? Sir, it is noted that CaratLane Trading Private Limited had received a show cause notice dated 28th March, 2022 from the Enforcement Director, alleging that it received foreign direct investment during the years 2011 to 2014 in violation of FEMA Rules. It is on Page 372, sir. What is the present status of the show cause notice? And whether they accepted -- whether the department expected, the opinion of the former Chief Justice of India, mentioning it only as the B2B sector? Whether they raised any penalty against our company, against CaratLane as on date? Sir, it is noted that Golden Harvest scheme is doing well, and it has a balance of INR 2,290 crores as of 31st March 2023. It is on Page 282. What is its contribution to the -- to our profitability during financial year '23 and Q1 of financial year '24? Sir, I am a bit surprised noticing from Page 229 that there was no product on service related components received during financial year '22 as well as financial year '23. No customer-related components, which looks very unusual, looks very unusual. It may be due to non-recording and complaints by your store management and also maybe to show it as a zero complaint capacity. During my long journey, I never came across such thing, zero complaint. It is dealing with retail customers and zero complaint for such vast network is totally unusual.

Thank you.

No, no. I have questions. I am waiting for it.

We will reply to your questions at the end. You please continue and finish your questions, Mr. Mazumdar.

We now invite our next speaker member, Ms. [ Humayun Pardeshi ] to accept the prompt on your screen, unmute your audio and video, and you may proceed with your question. We'll wait for a moment while Ms. [ Humayun Pardeshi ] accept the prompt.

Can you hear me, please?

Yes, we can hear you.

Okay. I'll try to start my video also. Okay. Now I'm just starting. I'm delighted to join as a shareholder speaker in our AGM. It's not possible to go in this online, website all the -- about the annual report. I hope next time I get the annual report hand delivered. Now I just want to say that Titan has become a household name. No doubt about it. And as far as watches are concerned, watches means Titan. And myself, I'm wearing a Titan watch. This is the watch I'm wearing. And shall I tell you the wonder watch, what is it? I got completely drenched in the rains of monsoon. My watch got completely drenched. I was sure my watch will stop, but my watch has not stopped working. Just amazing technology, amazing technology. You should be awarded, rewarded for this technology. Now another thing I want to say regarding -- I'm also getting Titan spectacles. The frame, the glass, the numbers, all given by Titan themselves. I'm also proud of it, and I'm very happy with it. So I can vouch for whatever you have said about the quality of our products. Now I just want to know, since I'm staying in South Bombay, I'm having all these facilities of our Titan shops, eyes, watches, even jewelry -- I'm using Titan Jewelry also. And now the customers I have seen increased a lot compared to when it was starting. Now I want to ask is, what about the villagers? You have mentioned that you have increased the stores in the towns, et cetera, et cetera. But what about in the villages? Can they order online, your Titan products? Watches or whatever? Do you have any tie up with any courier system to deliver your products online in the villages. I just want to know this. Because that is, I think, very essential. Of course, Titan -- you know Tata is trust and reliability. Another thing I want to know your Chairman, you've mentioned in your speech that you have increased -- opened more stores in UAE, one in U.S.A. and so on and so on. As a layperson, I want to know what about the making? Do you make in India and export there? Or do you have making -- manufacturing units there also where you have opened the shops? I just want to know. It's my knowledge. Because Made in India as I mentioned, do you make it in India and export them to the UAE countries, U.S.A. whatever? Or do you manufacture there itself and sell? I want to know. And another thing I was saying, yes, your CEO has received a very good award. But I want to mention is it because teamwork and team spirit also? Is it not the cooperation from the secretary department and from all of the departments of our Titan company? Yes, it is a team spirit, and we are very proud of it, and please keep it up and keep on getting more and more awards. I think this award also goes to everybody who have supported the CEO. Another thing is I just want to know, how much time does it take to break even a store? Does it depend upon locations? I just want to -- just now Mr. Mazumdar mentioned that, have they made profits? Now we can't expect profits immediately, right? The moment a store is opened, it takes time, right, for the customers to come and profits. That's all I would like to know, these 3 questions I would like to know. Now I also want to draw your attention our company is definitely investor friendly. And the credit goes to your secretary team. Yes, all -- Sarika, yes, was very hardworking. She contacted all of us. And also, you had a separate agency. Do you know? They showed me, "switch on your video, never mind, speak. It will be heard. If it is not be heard, we will immediately inform you." Really, exceptional this is, and I wish all other companies follow this practice. Sometimes, the companies don't follow this practice. So I congratulate your secretary team, you all for the good efforts and work. And of course, for our Mr. Noel Tata, what to say? My late husband used to always say, wherever -- Behruz, my late husband, Behruz Pardeshi would always say, wherever Mr. Noel Tata is, there is complete transparency and used to love you, Mr. Noel Tata. He used to respect you a lot. So we wish you all the best. We wish our management all the best, our company all the best. Because on it, depends our also prosperity. You, your company -- Tata does even a nation proud. Titan does the nation, India, proud. Thank you very much. I'm using all your products, and I'm very happy with it. All the best.

Thank you. We now invite our next speaker member, Ms. [ H.S. Patel ]. [Operator Instructions]

Respected Chairman, Mr. S. Krishnan; and the Vice Chairman, Mr. Noel Tata; who are the other eminent directors on Board; our CFO, Mr. Ashok Sonthalia, [Technical Difficulty]

Operator, it's not audible.

I'm not audible?

Now it's better, Madam.

Am I audible now?

Yes, Madam. You're audible.

I can't get in -- I thank whatever, the CFO and CS, for the [indiscernible]

I'm sorry to interrupt, Ms. [ H.S. Patel ]. Request you to keep the mic closer to your mouth so we can hear you.

Am I audible now?

Just keep the mic closer to your mouth.

Am I audible now?

Yes. Yes. Now you're audible.

I thank the secretarial department, our Sarika, for all the help that she has rendered, very good employee, very active in her duties. I also thank [indiscernible] who has engaged this [indiscernible] formalities so that we are able to speak sitting at our home. I thank Vinay also for the compare and the lady who was helping me out. First, I would like to congratulate all the employees for their excellent hard work that they have given an excellent results that they have given us this year. I congratulate Mr. Venkataraman, who has received 2 awards, the CEO of the year award and the company of the year award by Forbes and Business Standard respectively. Congratulations Mr. Venkataraman. I hope I'm audible.

Yes. Yes, ma'am.

Okay. Thank you. Our company, Titan, has done a very good job this year by taking a very good initiative in helping the shareholders which you have mentioned on Page 192. By helping the shareholders, you are tracking them down who have not claimed their dividend for the past 5 years, 6 years or maybe 10 years. Titan has done a very good job that you are doing, reaching out to them directly. Also, the third-party member calling them before the fund can reach to the Protection Fund -- returned back to Protection Fund. It is good that this initiative taken by Titan. And this sets an example to all other companies who are just giving lip service to the shareholders. This is a very good job. I really wanted that this meeting should have been taken in the month of June, July, so that I could say this to the other companies also that Titan has made this initiative for the shareholders. Congratulations, all the employees and thank you very much for this initiative and wish you good luck for that. Anyways sir, my question is Titan opened international stores at U.S., Dubai and UAE. Sir, what -- how much is Titan planning to open new shops in other countries also? I would like to know that. And what is the future plan for this international business? Sir, the company has made very good profit of INR 3,300 crores this year, with the cash in hand of INR 1,582 crores. What is the plan of the finance department for this cash in hand? Do they plan to use this in the company's business or give to the shareholders, if some light can be thrown. Bonus is long pending. You have given us a dividend of INR 10 now but bonus has been long, long, long pending. 2011 was the year in which you had last given us a bonus. If the company is doing very well and if there is cash in hand and there is good progress of the company. [Technical Difficulty]. Today the share price quoted was INR [indiscernible] is quite high. Today [indiscernible] the pricing structure, no doubt, Sir, what is the revenue of Tanishq? It's a very beautiful shop in Bombay, very good products, our fragrance and fashion accessories are also very good. Sir, I only have one little request for the eye care section. Sir, all your spectacles are very -- plastic glasses. Sir, now can we make glasses, glass [Foreign Language]. Plastic is not good for eyes. I humbly request, I put my request to the management team that if glasses are also used instead of plastic, no, plastic also maybe used but come out with a glass, use of glasses in spectacles, so that – I do not like use of plastics for the eyes. I have -- this is my humble request, if possible, please. Which is your highest revenue fetching business among your various products, I would like to know that. How many IEPF claims are approved and how many are pending? Though that is a very strong business long-term investment, the company can even do much better. The company can still significantly grow, although there is a decline of 1% in the revenue and the share price, there is a decline. The company can still can do much, much, much better. I hope the employees of various segments can still work very hard, improve the profit.

Sorry to interrupt [ Ms. H.S. Patel ]. In the interest of time, may I request you to cut down the question.

Yes, sure, sure. Technology has made a very good significant role in modern times, especially the next gen and the eye care. And we have reached -- recovered significantly in the economic affairs after the COVID. I hope the company does still much better. I thank each and every employee for the -- all the hard work that they have done and their association with the company. I am also a very faithful shareholder for the company. I only request that we have our Noel Tata, as the Vice Chairman and my Executive Director. I wish that we make him an executive director also for this Titan, if possible. I thank very much for giving me this opportunity at the 39th AGM. I wish the company all the very best.

We now invite our next speaker member. [ Mr. Manoj Kumar Gupta ]. [Operator Instructions].

Hello. Good afternoon. Respected Chairman, Board of Directors, fellow shareholders. My name is Manoj Gupta, I have joined this meeting from Calcutta. I feel proud to be a part of Titan and I'm very I'm very happy to see [Audio Gap] . And sir, I have nothing to say on the accounts because you have done a lot of things for the community and the society. And the results are good. I thanks to the company secretary and his team, especially Sarika, who helped us to join this meeting through VC. Sir, what's your future plan and how you will reward to the shareholders and kindly extend the time of discount coupon and increase the rate of discount because more than discount coupons peoples are getting in the market, sir? And I wish to God, to give you more success. Thank you, sir.

We now invite our next speaker member, [ Mr. J. Abhishek ] to accept the prompt on your screen. [Operator Instructions]. We'll wait for a moment while Mr. J. Abhishek unmutes the audio and video connection.

Yes, sir. Can you hear me?

Yes. We can hear you.

Yes, sir. Just a second sir. Allow me to switch on the camera as well, sir. [Foreign Language]. Yes sir, can you hear me sir, am I audible? My name is Abhishek, shareholder of the company, my DP ID IN301637, client ID is 41359155. Sir, first of all, I congratulate the management on the eve of 39th Annual General Body Meeting. I trust all is well with you and your families. In this challenging situation the company deserves much more [ respect ] than the current market cap after completing more than a decade of successful operations profitability, the dividend history and becoming one of the strongest brands in our respective segment. Sir, as of date, how many employees are there in our company? I would like to know from sir. And kindly arrange for a plant visit for the investor fraternity and this we have been requesting for past 2-3 years, the management is not trying to consider the same. So kindly, try to consider a factory visit for the investor fraternity, sir. As this is the fourth year we are meeting in -- through virtually. So try to consider the -- most of the companies across Delhi and Bombay are already adopted hybrid mode. So please try to consider hybrid mode in the years to come. This is the most convenient option for the investor fraternity to join and clarify their grievances. So try to consider the same in years to come, sir. And the investor fraternity very [indiscernible] to see the factory, so arrange for the same. And sir, the hybrid mode, what happens, the investors who are not able to join you on the virtual platform because of the digital challenges here, they can very well join you in the physical one and people like pan-India shareholders like us can very well join you in the virtual mode. So try to consider hybrid mediums in the years to come. So then what are the steps being taken by the management to reduce the other expenses, legal professional charges and auditory. And then, myself and my team are running a legal firm, the name is [indiscernible] Associates in Chennai. So I would request you to [indiscernible] to kindly enroll our firm in the [indiscernible] of the company and we will be glad to extend our services, sir. And the company follows a very good corporate governance, sir. The Company Secretary already called us and shared the link very well in advance. So we're really thankful for the management for having -- practicing a very good corporate governance in our company. And I thank the Company Secretary and their entire team for sending us the link well in advance and making this Annual General Body Meeting a grand success. I wish the company and the Board of Directors a great success and prosperity in the coming future. And thank you for giving the opportunity, sir. Hope to see you in the physical AGM next. Thank you.

We now invite our next speaker member, [ Mr. P. Jaichand ] to accept the prompt and ask your question. [Operator Instructions] [ Mr. P. Jaichand ], I'm sorry, we are unable to hear you due to possible network issue. We'll contact you and if your connectivity improves, we'll announce your turn again. Our next speaker member is [ Mr. Gaurav Liladhar ] who has registered, however, did not join the meeting. So we'll move onto our next speaker member, [ Mr. Prabhjot Singh Sahani ]. [ Mr. Prabhjot Singh Sahani ], has registered but did not join the meeting. Our next speaker member is Mr. Mohit Arora, who has registered but did not join the meeting. So hence, we'll now invite [ Mr. Naveen Bothra ], to accept the prompt on your screen. [Operator Instructions]. We will wait for a moment while [ Mr. Bothra ] unmutes the audio and video connection.

Yes, [ Naveen Bothra ], pleasure attending the 39th AGM from Delhi. This is first Titan AGM for me as a shareholder and also a speaker shareholder. Warm greetings to our Chairman, Mr. S Krishnan; Vice Chairman, Mr. Noel Tata sir; Managing Director, Mr. Venkataraman, the other esteemed Board members and management team. The integrated annual report of Titan gives a detailed outline of the fixed capital of the company. Thanks to the secretarial and design team for excellent annual report and sending me the hard copy of annual report well in time. Congratulations to Team Titan for the stellar performance with high double-digit growth during the year, as also the first quarter results are quite excellent also. Kudos to the team led by our dynamic CEO, Mr. Venkataraman. And also, accolades on the various awards and recognitions during the year. Mr. Venkataraman through his shareholders letter has precisely in one pager has beautifully elucidated the role of technology at Titan. Great, sir,. Chairman sir, I have the following points for your kind consideration. #1, about the CaratLane valuation. Recently, in June first week, there were some news items in the business dailies which suggested that the founders of CaratLane who hold 28% stake have not accepted the valuations offered by Titan. So I would like to have your view, Chairman sir, on the whole issue and when it is likely to be closed -- this matter closed. And continuing with this CaratLane, in view of the above differences in valuation of the CaratLane business, is there any possibility of CaratLane coming out with an IPO? If you can clarify, it will be quite helpful, sir. #2, about Taneira business, it's a very beautiful business and is scaling up rapidly. So my question and curiosity to know about this Taneira business, is there any overlap of our -- this Taneira vertical with our group's another lifestyle retailer, which is also growing by leaps and bound, mainly aided by the apparel segment. So I would like to have your view, is there -- are there any overlaps with our other lifestyle retailer from Tata Group. Chairman sir, your vision for -- our Group Chairman N. Chandra's vision for Tata Group emphasizes on 3S strategy, i.e., simplify, synergy and scale. In view of these, Chairman sir, I seek your intelligence or your thoughts, whether in future Taneira can be hived off or any partnership plans can happen with our group -- Tata Group Company. #3 and most importantly, I would like to know, what is the next immediately scale up opportunity for Titan, where we can profitably scale up the most, where we can scale up profitably the most. What next opportunity, immediately scale opportunity is coming, if you can throw some light on the businesses, which we are integrating, it will be quite helpful, sir. To close, all the very best, all the very best to the team at Titan, which has advanced technology at the forefront to meet the ever-evolving demands of new-age customer. I have already voted in favor of the resolutions and I also propose a vote of thanks to the Board. Thanks to our secretary, Dinesh Shetty ji and his team for smoothly coordinating flawless participation in this meeting. Thank you very much, sir, for providing me the opportunity. Thank you.

Thank you. We now invite our next speaker member. [ Mr. Heeranand Kotwani ] to accept the prompt on your screen. [Operator Instructions]

It's a great pleasure to join and [Foreign Language] to all. Certainly, I am just last man. Everything has been spoken, just to say Jai Hind. But certainly, I have seen your balance sheet is very good but the scale, percentage wise okay. Gentlemen, the new business you shared in your balance sheet director report, Indian dresses, fragrances and fashion accessories. The revenue increase in the percentage wise is more but actual INR 295 crores consolidated, company like Titan INR 295 crores, how you are going to improve because it can be viewed. Our main business was old watches, I used to -- 1980, 1990, because when I married in '93 I sold some Titan watches. That time, it was INR 100 [indiscernible]. Okay, how we are going to improve the other division at various level, growth and prosperity. Someone has been in the middle -- he did not ask questions -- all. Can you call and give some hints, some questions, some complaint, I have also seen the sexual harassment cases, 12; 6 are pending. How you dealt with that? Are you handover to the police or court authorities or you just in your internal committee settle down? I want your reply on this. Certainly, nothing more to say. Just 1 thing I observed, some step-down subsidiaries, 2, 1 or 2. You want to comment on it, why the subsidiary was step down and how you are aiming -- plan to new subsidiary or demerger -- merger in [indiscernible]. How the new vertical and the profitability and the scale and growth will come, that is my concern. You are giving the reward to the investor. Thank you. But certainly in the future, how you are going to face the eventualities. Thanks. Please narrate something.

Thank you. We now invite our next speaker member, [ Mr. Gautam Tiwari ]. [Operator Instructions]

This is another -- first of all, good afternoon, rather, good evening to all the very established, eminent Board of Directors. I'm very happy to see Mr. -- very happy to listen to Mr. Krishnan speech as a Chairman. Noel Tata, I am very happy. Bhaskar Bhat, really happy. All are well-known directors and we have been connected since decades together with all these greats. I'm very happy. Moreover, our -- this is one more year of success. You have been rewarding the shareholders and investors and stakeholders in a very compatible way, in a very, in a very nice way and very generously all these years. Sir, we are very happy about all this. And our Secretary department, Mr. Dinesh Shetty, [ Sarika, Bindu, Raghavan], everybody is, investor service is very good, sir. And moreover, the good care is being taken of. And this 39th AGM, you have been rewarding shareholders every year, each and every year and unlock their wealth. And you have been always in your mind you have kept the interest of small and retail shareholders and all shareholders are very happy with you, sir. Sir, I congratulate you for various awards and accolades that you win. In fact, it is not important, the awards but your work is important, it speaks volumes and voluminous way, in its own way. Sir, we thank you for INR 10 as dividend. And moreover, bonus is longer, of course, whenever the appropriate time comes, I'm very sure you will reward the shareholders precisely well. Sir, elaborative annual report and we have received well in due time. And we once again compliment each and every member of this CSR team also is very good. Each and every member we compliment. We thank our secretarial department, R&D department, finance department. Even our NSDL and the technical team of this Zoom who has arranged this meeting and given me an opportunity in such a nice way to speak with. And sir, I would like to know, sir, what is the attrition rate of ours this year, especially. And what is the CapEx and road map that you have got in your mind for this year and the next. And our R&D and CSR budget for the current year, how much do you have in your thoughts, sir? And sir, how much unclaimed dividend and shares you have transferred this year to IEPF and investor fund. Sir, our profit is more and more coming from Tanishq and perfumes, eye care division also and watches also. Now what are the new products which you have launched and which are in the pipeline. And how many new stores you have got in mind to open? And how many are giving the maximum profit? Sir, which of our products are giving more than 50% of this voluminous sale and the maximum profit yield, I mean, at an International level and at domestic level both. Rest, all I'm very happy with whatever we have been doing, whatever the company is doing. And I congratulate, I'm thankful to each and every director, each and every employee and staff and officers and executives. And I wish -- I have sir, I have voted in favor of all the resolutions already in hand and I support appointment and reappointment of all the directors. And we have been in the -- in this group -- in this company, right from day 1 and in almost all the Tata companies, right from day 1 and we are proud shareholders of being Titan. And I'm very sure in the days to come, you will keep on rewarding shareholders in much graceful way. I wish each and every member of yours, in the team, a very long, happy, healthy, wealthy life. And safe life and a very bright future for the company, with your superlative management and your exceptionally good understanding. And once again, I thank all the secretarial department, Mr. Dinesh Shetty, Sarika and you all, everybody for their best work and for their cordial harmonious relations and all of you. Thank you very much sir. My salute to you. Thank you very much sir. God bless you with the choicest of blessings.

We now invite our next speaker member, [ Mr. Kamal Kishor Jhawar ]. [Operator Instructions] [ Mr. Kamal Kishor Jhawar ]. May we request you to unmute your microphone and...

[Foreign Language] Okay. Thank you. Chairman sir [Foreign Language]. I am the very, really small investor. 2006 [Foreign Language]. What is the reason? [Foreign Language]

We now invite our next speaker member, [ Ms. Vasundhari Pasari ]. [Operator Instructions]

Can you hear me?

Yes, we can .

Good afternoon, respected Chairperson and members of the Board. I am a member of Millennial Mams' Kolkata Chapter and a proud shareholder of Titan. Sir, we congratulate you on having the best ad campaigns in the entire Tata Group. Tata has grown from strength to strength by launching new product lines. Sir, what is the next big [Foreign Language] we can expect?

Thank you. Our next speaker member is, [ Ms. Sri Rama Vinod Adi Lakshmi ], who has registered but did not join the meeting. Hence, we'll move to our next speaker member, [ Ms. Kanchan Carlo ]. [Operator Instructions]. We will wait for a moment while [ Ms. Kanchan Carlo ] unmutes the audio and video connection.

Yes. I am a member of Millennium Mams and a proud shareholder of Titan. I'd like to know, you all have changed of thinking of people, from unorganized to organized sector. Is this still a option -- is this still the growth pattern, which is leading to the growth?

Is that it, ma'am ?

Yes, that's it. I just want to know what is leading to the growth of the Titan Company. What are the factors?

We will now move to our next speaker member, [ Mr. Sanjay Banik ]. [Operator Instructions] We'll wait for a moment while Mr. Sanjay Banik unmutes the audio and video connection.

Sir, I'm [ Sanjay Banik ] from Kolkata. I'm shareholder of the company. I'm privileged and thankful for providing me the opportunity to speak at the AGM. Sir, the annual report of this year is very informative and inclusive, depicting the information regarding the technologies used in each division and knowing the respective group heads. So this is very beautiful. Next sir, in the last AGM of the company, I suggested some measures to be taken in Jewelry and Watch division to Venkataraman sir. And the company has really taken such initiative in the current fiscal and it shows the company has commitment to the shareholder. So I'm thankful for this. And sir, last year also, I suggested that you introduce -- you have to introduce more light wear jewelry in the Tanishq division in order to gain more footfalls. In Kolkata, renowned jewelers like Senco Gold, this year, they have come with IPO. PC Chandra have more footfall as price conscious customers prefer light weight jewelry and light weight and trendy jewelry. So this area, you have to look into. Moreover, the physical store of CaratLane are rarely seen in the smaller towns, which require a lower investment than Tanishq. So you have to look this area also. Now sir, in watch segment, more designs is to be introduced in smartwatch segment. Some of my friends and colleagues told that they are reluctant to replace the battery of the analogue watch as they are costly than unbranded battery. So they also want to convey this message to you also. I am a customer of the Titan Eye. Last year, I bought products from Titan Eye from the offline store by redeeming the discount coupon. The lens quality of the Titan Eye is very good. But I feel the range of the frames offered are very less as compared to your rival like Lenskart. So this is a area you have to look for. Sir, I feel that there is an ocean of opportunity in eye wear market. So I wish more success ahead in this division in future. Sir, in eye wear division, I have a question, what is the gross margin in your frame manufacturing, if you can tell this? Next and the last but not the least, that you -- the coupon rate of the discount coupon is very low. You sent by mail, especially in the eye wear and watch segment. So that if you increase the discount rate we'll be more enthusiastic to buy products from Titan. So thank you again for patience hearing.

That was the last question. I now hand over the meeting to the Chairman for further proceedings. Over to you, sir.

Thank you very much. I'd now like to request the Managing Director, Mr. C.K. Venkataraman, to answer all the questions raised by the shareholder members.

Thank you, Chairman. Thank you, shareholders, for a very engaging conversation. A lot of questions and I will attempt to answer those, which in my view are substantive in nature and would be relevant to all the shareholders and prioritize responses using that criteria. And we will try and answer the rest of the questions offline through mail or through calls. First of all, thank you for all the appreciation that has come from all the shareholders on -- particularly the secretarial department, Dinesh and [ Sarika ] and others who helped put together this program in a very, very good way and gave you all the materials relevant for the conversation with the company. And of course, all of the appreciation of the management that all of you shared. Now starting with [ Mr. Boppana ]. The celebrity endorsement cost was one question. I would like to assure the shareholders that while we have multiple celebrities across businesses, the total cost of that endorsement is a small single digit share of the total marketing expenditure of the company and there's nothing at all to be concerned about. The total share of new products to the sale across the company would be of the order of 20%. Coming to leadership development. The company has a very deep and wide leadership program from what we call the entry-level managers. We have a program called the young leaders program, then we have an Emerging Leaders Program for the middle management. We have a senior management development program. In fact, just this morning, we kicked off with the latest entrants into the senior management cadre. So across the board, the company has a very deep and wide leadership development program, which covers domain skills, people skills and exposes people to new and emerging technologies as well. We -- and this answer is across multiple questions. We opened -- this year's target for new stores is about 450. So we would be opening about a little more than 1 store per day on average. The average age of employees is a little over 30. And the share of women in the company is about 27% to 28%. Coming to Mr. Hari Rao, as always, best of words you have to share for all of us and it's on the shoulders of giants like you that this company is doing as well as it is. [ Mr. Vinod Agarwal ], spoke about the dependence or high share of the jewelry business to the company's sales. On this subject and multiple people spoke about this, so I would like to dwell a minute on this. We look at the share of customers as an equal measure to the prosperity of the company. And to the manner in which the company actually serves its customers and not just the share of revenue. And we believe that when a lady uses a SKINN perfume in the morning to refresh and start the day, the impact of that is no less than when she wears a INR 10 lakh necklace for an evening party. And the role of Titan Company in making her life better is no different and no better, whether it is a SKINN perfume, which is about INR 2,000 on average, or a Taneira's sari, which may be INR 8,000 on average, or a Tanishq necklace, jewelry, which may be INR 100,000 on average or a Raga watch which may be INR 4,000 and so on. The impact of that on our customer is no less. And as long as each business has got a future where it is delivering an attractive return on capital employed to the shareholders, to the company, we believe that business has a role from a string of pearls point of view and offering a wide range of choices when it comes to lifestyle, lifestyle accessories from Titan Company. So therefore, the other businesses, as we speak, are small but in the next 5-year dream that we call the Titan Turbo, we have declared a very ambitious scale-up dream for Taneira, for fragrances and fashion accessories, for our international business, for our Titan smart wearables business, where all of them will become a greater part of the share of the company. But because the jewelry industry is more than INR 400,000 crores and the market share of the jewelry business of Titan Company is 7% or 8% and the further growth opportunity is so high. And therefore, the Tanishq and Zoya and Mia and CaratLane brands will continue to ratchet a very high growth rate over the next 5, 10 years. The share of the jewelry business will continue to be high. Lab grown diamonds is an opportunity and a division. The jewelry division is at the moment, seriously evaluating various options of entering into this and we will announce it at an appropriate time. We note some of the ideas given like [indiscernible] figures, increase in shareholder discounts for discount coupons, glass lenses for our eye care products and so on. And we also note ideas like sampling of the Titan EyeX products for shareholders during the next virtual AGM. But if you have a physical AGM, perhaps there would be no need for a product like that. [ Mr. Bimal Agarwal ] suggested, would Titan consider getting into the mobile segment. No. We had considered this many, many years back and concluded that the capabilities and the success factors required for an effective play in the mobile phone business are a little distant from what capabilities that Titan Company has and it would be prudent and practical for Titan Company to stick to the knitting that it is good at. [ Mr. Tamal Majumdar ], the report that the CFO had sent is a report that is filed with the stock exchanges as soon as the quarter ends, which is only about the sales performance of the company and the profits will be known after the Board meeting of quarter 1 gets completed, which is tomorrow. Taneira is at the moment not profitable. We must remember that Taneira is just short of 6 years old, 5.5 years old. It takes time to build a business. In the first wave, we established a customer value proposition, we established a network, we established a certain sales per store, make the customers very happy, make the partners very happy and the company's turn will come after that. Like we have delivered acceptable, delightful financial performance in every part of our portfolio, I'm sure and I'm reassuring the shareholders that we will deliver that in all businesses, including Taneira. The store profitability is a matter of time and somebody else, I think, [ Ms. Patel ], I think asked that question as well, the stores are set up to reach breakeven typically in the second year of operation but this varies from across businesses and specific locations may also have a bearing on this. But we have a very, very robust system in which we analyze the profitability of every single company store with the franchisee partner cost as a reference. We would like to cover the cost of a company store within what we would have otherwise paid out to a franchisee in the second year of its operation. That's the way we measure and we have a robust system to make sure the number of loss-making stores is really minimal. On the CaratLane, [indiscernible] matter, CaratLane company has taken up the issue, contesting it with the right authorities. And as and when there is news to share, we will do that. Golden Harvest share in the business is a little under 20% and the Golden Harvest cost, which on the face of it, it may appear to be high but when you look at the benefits of holding the cash flows of the customer over 11 months, as well as the significant upsell that happens, as high as 80% when the customer redeems a Golden Harvest more than makes up for the apparent cost of the scheme and delivers an exceptional customer acquisition route and a lock-in forever. On [ Ms. Humayun's ] questions on villages, we are delivering in a very, very large number of Pin Codes across the country and our products are reaching the smallest of towns and I'm sure some villages, equally, given the nature of our categories, we are also pushing brick-and-mortar. So we have, for example, in the watch business, we have a substantial trust on the multi-brand retail channel, where we are present, I think, close to 8,000 stores across the country in the smallest of towns possible. And therefore, anybody from a village or perhaps has to walk or travel not more than 10, 15 kilometers to reach a certified Titan company store. U.S. and other stores at the moment, our manufacturing is ex India, even though we are considering and we're thinking about where all it would make sense for us to manufacture outside, especially from a fiscal advantage point of view. I think it was [ Ms. Humayun ] who asked about the breakeven of a store, which I answered just a little back. And [ Ms. Humayun ], thank you very much for reminding all of us that while the CEO's photograph may come on the cover of a magazine, she or he merely represents the thousands of employees and the tens of thousands of others who actually make a corporation really successful, particularly a corporation like Titan Company. I must tell you that Bhaskar Bhat's definition of a CEO, many, many years back was Chief Enabling Officer, who's sitting at the bottom of an inverted pyramid, playing the role of making everyone else's life in the company right and effective. And therefore, we -- that award -- in fact, the best company award was the recognition of what I'm describing. And the best CEO award was merely, I was just there on the cover of that magazine. [ Mr. Patel ], thank you. International business opportunity is actually huge. Our current focus, after many years, we have come back to focusing on the diaspora -- the Indian diaspora spread across the world. We started with a focus on GCC. And soon, we should have close to 20 stores in the Gulf Cooperation Council countries. Then we started on the North Americas, our first store opened about 8 months back in New Jersey in the U.S. And over the next few months, we are really ratcheting up in Houston, Dallas, Chicago, San Francisco and Canada awaits in 2024, Singapore awaits 2024. We're seriously looking at the U.K. and Australia. And wherever Indian flags are flying, the flags of Titan company will also soon unfurl and deliver world-leading customer experience there as well. As the Chairman spoke, we opened our first Eye+ store in Dubai and we've got a fabulous response, not just from the diaspora but from multiple expatriates in Dubai. We are obviously delivering exceptional value of all types to all nationalities and we're going to bet big on the Eye business as well, particularly in GCC. As far as the watches business is concerned, we are reimagining the analogue, fashion analogue and the smart wearables business. In some of the countries where we've historically been strong and with the kind of heft now we have with our international presence, actually people manning or being there on the ground and of course, the kind of wealth, the prosperity of the international business, in particular and Titan Company in general, in generating, we're going to invest a lot in international. Diaspora first but the broader international opportunity later and bring a lot of prosperity, pride and prestige to the company and to the country. Cash in hand, for a company of this size, the cash in hand is not particularly large and it is needed for actually growing the company. And on the bonus share, I would actually thank [ Mr. Gautam Tiwari ], for answering on my behalf to all the shareholders, he said it will happen when it is appropriate time. [ Mr. Abhishek], the number of employees we have is about 8,000 and I will certainly sit with Dinesh and we'll think about the factory visits for investors. I think when we used to have physical meetings that was very much possible and we can reimagine that. Thank you, [ Mr. Naveen Bothra ] on your questions. On the CaratLane valuation, the company will make the appropriate announcement in compliance with the regulatory requirements as and when it is appropriate. I don't have anything specific to share at the moment. On the subject of Taneira and the simplicity point of Chairman Chandra and the other group company that you referred to, the other group company is not really into sarees, it's not at all in sarees actually. And therefore, it is -- the portfolio is exclusive in a sense. And the share of sarees with the Taneira business is very, very high. The share of the salwar kameez and all that is very small to-date and even in the 5-year time frame. And to that extent, the scale, the synergy, simplicity points do not yet hold and we will see as time passes. Next, scale-up opportunities. When we, 3 years, 3.5 years back, when we sort of took away some of the businesses from the wings of the mature businesses and created divisions completely, like the fragrance and fashion accessories, Taneira and international business that was to actually give them wings and let them fly. And even today, as some of you have remarked, those remain small. Until they become big enough, not just in customer share but also in revenue share, it would not, it would be dissipating the efforts of the management to take up any new business. So right now, we are focusing to make international business huge, Taneira huge and so on and so forth and not really taking up any other business yet. On the sexual harassment cases, [ Mr. Kotwani ] we have a very, very robust process. We have a very senior person as the Chairperson of the POSH Committee in the company. This is some -- this as well as the ethics is something that is a benchmark process in the Tata Group as a whole, which is saying a lot, frankly, given the Tata Group is of a certain standard in this. And we don't really get the police involved in it. We have an internal mechanism which runs and we have, of course, a fully functioning Ethics Committee of the Board, which is a first -- I mean, certainly unique from a Board point of view and we report to them at a regular interval. Our attrition is pretty low at around 10%, even though it's more pronounced in segments like digital technology, brand marketing and all that. And this is a problem that every company is having today, but we have managed to deal with it very effectively. And the overall culture, overall things -- the employer value proposition that Titan Company offers comes handy for us to deal with this overall challenge. IEPF transfer was INR 3.5 crores and the CSR budget for FY '24 is INR 60 crores. [ Mr. Kamal Jhawar ], we have a very strong CSR governance process, and therefore, many of the things that you spoke about, the NGOs, in a way taking companies for a ride, all that does not happen in Titan at all. To start with, we have a Chief Sustainability Officer, reporting to me at a Vice President level, very senior person. And we have strong teams under him, who even before getting an NGO on board, there is a fair amount of evaluation that we do on the NGO's status, NGO's processes and that governance is very strong. And thereafter, when the NGO comes on board and all the grants are given, we have engagement levels, field visits of very high order to make sure that nothing like what you described happens in Titan Company. [ Ms. Vasundhari ], next big new business from Titan, I answered it. The next big new business, in my view, it could be Titan smart wearables, it could be Taneira, it could be women's bags, it could be the international business. All of these are waiting to become huge and each one should ideally become a $1 billion business soon, even though some of them, the near-term targets are not at that order but I'm sure the medium term will take us there. [ Ms. Kanchan ], on the unorganized to organized point, virtually every business that Titan is in, even today, is in a situation of substantially unorganized. The share of organized in jewelry is at best 40%, in my view, And therefore -- and the share of Titan Company's jewelry brands is under 10%. Therefore, we have a huge upside from an organizing point of view. If I take eye care, it's in a similar situation. If I take Taneira, it is even better, Titan smart wearables, of course, it's an organized industry but our market share is very, very low. The perfumes industry is substantially in the space of deodorants and therefore, the perfuming of the nation awaits us, so Titan Company is very much there. So other than the analogue watch business, which is organized and the Titan Company brand share is high, the share of unorganized in every other business is very high and our overall share is very low. So therefore, from a decadal point of view, the opportunity for Titan Company is huge. [ Mr. Banik ], more lightweight, thank you very much for acknowledging some of the things that you said you gave us in the last AGM and I'm happy that we were able to do something. More lightweight jewelry is a continuous, as the price of gold keeps rising every month, every quarter, Ajoy and team, and Revathi and team are at work all the time to create products which are lighter, stronger, faster in the market and I'm sure that keeps happening. Actually, we have a large number of CaratLane stores in small towns. For example, if I take a town like Bilaspur, which is a very small town in Chhattisgarh, we have a very thriving CaratLane store. In the 2-, 3-, 5-year ambition for CaratLane, we have a large number of stores coming up in the smallest of towns you can imagine. More designs in the smartwatch segment. You will -- you may have noticed that in the last 1 year, particularly, we've really, really ratcheted up our new product introduction in the smartwatch segment, both in Fastrack and Titan brands. And you will see a lot more going forward. Range of frames should go up. They have been going up and particular focus has been less than INR 1,000, not just frame but a spectacle at INR 999 has been a big initiative from Saumen and team in the last 1 year particularly and I'm sure you'll see more of that. The gross margin for frames is very attractive and I will leave it at that. And like I said, I picked those substantive, what I would define as strategic big rocks from all your questions. I may have missed 1 or 2 of those as well because like I said, the engagement levels were very high and I wished I had learned stenography when I was young, which I had not. But we will engage with you on some of those which we missed out through mail or call. And thank you very much once again and I would now like to hand over the proceedings to the Chairman, Mr. Krishnan.

Thank you very much. Mr. Venkataraman. I now authorize Mr. Dinesh Shetty, General Counsel and Company Secretary, to conduct the voting procedure and conclude the meeting. The e-voting facility will remain open for the next 15 minutes to enable members to cast their votes. The results would be announced within 48 hours of the conclusion of this meeting, and the same would be intimated to the stock exchanges and uploaded on the website of the company and NSDL. I thank the shareholders for attending the meeting and for their continued support, for showing their keen interest in the company by seeking clarifications on various matters. I also thank all the directors for joining the meeting remotely. With your consent, the other Board members and I would now like to leave the meeting. I request all shareholders to stay safe and healthy until we meet again. Thank you very much.