Titan Company on May 3 reported a standalone net profit of Rs 786 crore for the March quarter, a growth of 7 percent from Rs 734 crore in the year-ago period.
A Moneycontrol poll of six brokerages had pegged the profit to rise 10.5 percent year-on-year at Rs 811 crore.
The jeweller and watchmaker's revenue came in at Rs 10,047 crore, rising 17 percent from Rs 8,553 crore in the year-ago quarter, the company said in a regulatory filing.
The brokerages pegged revenue at Rs 11,054 crore, a growth of 11.4 percent from the year-ago quarter.
Earnings before interest, tax, depreciation and amortization (EBIDTA) for the quarter was at Rs 1,109 crore, growing by 6.2 percent. EBITDA margins declined by 90 bps YoY to 9.9 percent.
The Board has recommended a dividend of Rs 11 per equity share of Re 1 face value, payable or dispatched after the conclusion of the 40th Annual General Meeting, pending approval from the company's shareholders.
Jewellery Segment
In the last quarter, Titan's total income increased by 19% compared to the same period last year, reaching around Rs 8,998 crore. The Indian business specifically grew by 20% during this time. The EBIT, which stands for Earnings Before Interest and Taxes, was about Rs 1,089 crore with a margin of 12.1% for the quarter. Throughout the entire year, the company saw a total income growth of 20%, amounting to approximately Rs 38,353 crore. The corresponding EBIT for the year was approximately Rs 4,726 crore, with a margin of 12.3% for the fiscal year 2024.
Tanishq expanded globally by opening new stores in Dubai and Chicago, USA, increasing Titan's Jewelry presence to 16 stores worldwide. Within India, Tanishq launched 11 new stores during the quarter, while Mia added 16 new stores.
Watch and Wearables Segment
The business achieved a total income of around 940 crores in the quarter, marking an 8% increase from Q4FY23, with domestic growth at 9%. The EBIT was approximately 80 crores, with a margin of 8.5% for the quarter. Throughout the fiscal year, the division's total income grew by 18% to about Rs 3,904 crore, with an EBIT of around Rs 397 crore and a margin of 10.2% for FY24.
Analog watch revenues increased by about 9% year-over-year to roughly 787 crores, driven by premiumization and higher average prices. Wearables revenues grew approximately 3% year-over-year, with a doubling in volumes compared to the previous year. The premiumization trend continued positively for Titan and Helios. International brand analog sales witnessed a revenue growth of around 22% year-over-year, supported by a 13% increase in volumes.
Titan introduced new analog collections, including 'Ceramic Fusion Automatics' and 'Classique Slim Multifunction' during the quarter. Raga's new collections featured four stylish clusters to match diverse consumer tastes.
In terms of expansion, 10 new stores were added to Titan World, 14 to Helios, and 20 to Fastrack during the quarter.
Eye Care Segment
In Q4FY24, the total income reached 1,166 crores, showing no change from Q4FY23. The business achieved an EBIT of approximately 8 crores, with a margin of 4.8% for the quarter. Throughout the fiscal year, the EyeCare Division saw a 5% growth in total income, amounting to 1,724 crores. The corresponding EBIT for the year was around 85 crores, with a margin of 11.7%.
Titan Eye+ introduced its new line of 'Affordable Fashion' eyewear, featuring a wide range of stylish frames paired with Blue Safe Lenses, making trendy eyewear accessible to everyone.
During the quarter, Titan Eye+ inaugurated one new store in Dubai and transformed five Fastrack eyewear stores into Titan Eye+ outlets in the domestic market.
Emerging Business
In Q4FY24, the Emerging Businesses, including Taneira, Fragrances, and Fashion Accessories (F&FA), achieved a total income of 197 crores, marking a 26% growth over Q4FY23. However, these businesses collectively incurred a loss of approximately 22 crores for the quarter. Throughout the fiscal year, the total income for these businesses grew by 28% to around 378 crores, with a corresponding EBIT loss of Rs 93 crore for FY24.
Taneira experienced a significant sales increase of 36% compared to Q4FY23. The brand's Taneira Saree Run in Hyderabad attracted over 4,200 saree enthusiasts, emphasizing the saree as a symbol of empowerment. Taneira also launched eight Weavershalas in Q4, bringing the total to 18 nationwide, aiming to support weaving craft and improve weavers' working conditions. The brand expanded with the opening of 11 new stores during the quarter, reaching a total of 73 stores across 37 cities.
Within the F&FA business, there was a 13% growth compared to Q4FY23. Notably, Fragrances grew by 9%, and Women's Bags saw a remarkable 97% growth (albeit on a smaller base compared to Q4FY23) in key sub-segments.
CaratLane Business
In Q4FY23, the total income surged by 29% to Rs 1,748 crore compared to the same period in the previous fiscal year. The EBIT stood at approximately 52 crores for Q4FY23, with a margin of 6.9%. Throughout the fiscal year, the total income witnessed a robust growth of 34% at Rs 2,930 crore. The corresponding EBIT for FY24 was around Rs 195 crore, with a margin of 6.7%.
During the Valentine season, the brand launched 'Postcards, by Caratlane', an innovative service allowing users to record personalized video messages and embed them into any Caratlane ring.
Caratlane expanded its presence by adding 10 new stores (net) in the quarter, bringing the total store count to 272 outlets across 110 cities nationwide.
"As we look forward to FY25, all businesses of Titan Company Limited are single-mindedly continuing to focus on satisfying the ever-evolving needs of our lifestyle consumers ." said CK Venkataraman, Managing Director.
Meanwhile, shares of Titan closed 0.96 percent down at Rs 3,535.40 apiece on BSE ahead of the earnings.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
