Titan Q3: Firm Sees 12% Growth In Combined Sales, Jewellery Division Up By 11%

Titan on Friday said that the firm saw healthy consumer demand due to festive season which resulted in 12 per cent growth in combined sales on year basis in the December quarter.

The firm clocked double digit growths in all segments despite high base, said Titan. The firm added 111 new stores in the December quarter.

"The healthy consumer demand spurred by a vibrant festive season resulted in 12% growth in combined sales YoY across Company’s standalone businesses. The positive consumer sentiment helped all categories clock healthy double digit growths despite a high base in the same period of last year," said Titan in its regulatory filing.

In jewellery division, saw healthy new buyer growth in the festive category. The segment also saw higher purchase value and the grew up 11 per cent on year basis.

"Healthy new buyer growths in the festive period, higher value purchases in the studded category and unique new collections for the season helped the Division achieve a ~11% growth YoY (excluding bullion sales). The sales from studded category moderately outpaced gold jewellery (plain) segment growth compared to the same period last year. Wedding sales grew in-line with the Division’s overall sales," said Titan.

Tanishq opened its first international store in USA, New Jersey in December 2022. With this store opening, the international presence now stands at 6 stores across Dubai, Abu Dhabi and USA. The new store expansion for the quarter consisted of 8 stores in Tanishq and 14 in Mia by Tanishq.

The watches and wearables division grew by 14% due to strong traction in the wearables space.

"Targeted campaigns and activations and the desire to own more premium / differentiated watches helped in good consumer demand for key brands in the portfolio," said the firm.

In the December quarter the store expansions pan-India (net) included 24 new store additions of Titan World, 17 of Helios and 7 in Fastrack for the quarter.

The eye-care division grew by 10%. In the December quarter, it added 36 new stores in Titan Eye Plus.

Titan's key subsidiaries which includes Titan Engineering & Automation Limited business grew 58% on a year basis. The automation solutions division grew by 50% and manufacturing services division (earlier called Aerospace and Defense) grew by 64%.

In Caratlane, where Titan owns 72.3 per cent, the business grew by 50% driven by gifting.

"The festive season from beginning of Navratri and continuing right till Bhai Dooj to capture consumer buying intent for the period. Studded growth was moderately higher than the overall growth and mix marginally higher than last year contributing to 75% of the total business," said Titan.

Titan reported reported a 33.7 per cent rise in net profit to ₹857 crore for the September 2022 quarter. This is against a net profit of ₹641 crore in the year-ago period.

The company's scrip was down by 1.02% at ₹2,536.95 at BSE.