Titan Company Limited, India’s leading consumer lifestyle company and part of the Tata Group, today reported strong second quarter results for the period ended September 30, 2023.
The company’s total standalone income grew 21% year-on-year to Rs 10,027 crore in Q2 FY2023-24. Profit before tax (PBT) rose 9% to Rs 1,261 crore from Rs 1,155 crore in Q2 FY2022-23. Standalone profit after tax (PAT) also expanded 10% to Rs 940 crore compared to Rs 857 crore in the same period last year.
All of Titan’s business segments recorded healthy double-digit growth during the quarter, aided by new product launches and marketing campaigns around the festive season.
The jewellery division, Titan’s largest business contributing over 80% of its revenues, achieved total income of Rs 8,575 crore, marking a 19% increase compared to Q2 FY2022-23. The India jewellery business expanded 21%, driven by new collections like ‘Festival of Diamonds’, ‘Tales of Mystique’, and ‘Rivaah X Tarun Tahiliani’. This was further boosted by regional campaigns and growth in both number of buyers and average bill value per buyer. The jewellery segment’s EBIT came in at Rs 1,206 crore with a margin of 14.1%.
Titan continued expanding its jewellery retail footprint in the quarter, adding 2 new Tanishq stores in Qatar. This takes the international presence to 10 Tanishq stores. The company also launched its first Zoya luxury jewellery boutique in Gujarat.
The watches and wearables division achieved a major milestone by crossing Rs 1,000 crore quarterly revenue mark for the first time. Total income grew 32% year-on-year to Rs 1,092 crore in Q2 FY2023-24. While analog watch sales expanded 22%, wearables category grew 131% on the back of strong demand for Fastrack smartwatches. The segment’s EBIT came in at Rs 160 crore with margin of 14.7%.
Titan’s eyewear business also maintained its growth trajectory, with total income rising 13% year-on-year to Rs 188 crore. The company introduced new luxury eyewear brand ‘Zefr’ in France. EBIT margin stood at 14.9% for the division.
The emerging businesses segment, comprising fragrances, fashion accessories and ethnic wear brand Taneira, posted 27% growth in total income to Rs 93 crore. Taneira revenues grew 64%, driven by festive collections and campaigns.
“All our consumer businesses achieved healthy growth for the quarter. The festive season in Q3 has started well and we are optimistic for our performance in the rest of the financial year,” said CK Venkataraman, Managing Director, Titan Company.
Titan’s subsidiary, jewelry retailer CaratLane also continued its growth momentum, with total income increasing 45% year-on-year to Rs 650 crore in Q2 FY2023-24.
Titan Company’s shares ended 0.2% lower at Rs 2,939 on the BSE today, ahead of the earnings announcement. The results were released after market hours. The company’s board of directors will meet on November 7, 2023 to consider and approve the issuance of non-convertible debentures.