Titan reports robust Q3 results on strong demand, net profit more than doubles

Tata group’s flagship company Titan Company Ltd reported a strong revenue growth during the December quarter, riding on robust demand across its consumer businesses. The company reported a standalone net profit of Rs 987 crore for third quarter, which is up 135% over previous year period.

Sale of products grew 36% to Rs 9,381 crore as against Rs 6,912 crore in the December quarter of last year. On Thursday, Titan shares were trading 0.87% higher in noon deals at Rs 2,485 apiece on NSE.

With Jewellery division doing exceedingly well, and other divisions also witnessing growth over pre-pandemic levels, the total income for the quarter was Rs 9,570 crore, including bullion sale of Rs 54 crore, a growth of 31% year-on-year.

Driven by festive purchases in October and November, the Jewellery business registered an income of Rs 8,563 crore with 37% growth in Q3FY22 compared to Rs 6,249 crore in Q3FY21.

The watches and wearables business recorded an income of Rs 708 crore with 29% growth year-on-year, while the eyewear segment saw its income rise 26% to Rs 156 crore.

The Jewellery division achieved Earnings Before Interest and Tax (EBIT) of Rs 1,260 crore for the quarter compared to Rs 752 crore in the same quarter of previous year. The Watches and Wearables division reported an EBIT of Rs 82 crore for the quarter compared to Rs 57 crore in the same quarter of previous year.

“The festive purchases in the qua1ter has driven Titan’s strong growth in all businesses of the company and the quarter has turned out” to be one of the best quarters in terms of growth and profitability. We continue to leverage technology and innovations in launching our new products and campaigns which have been received very well by the consumers. While the onset of Covid wave 3 has slowed down the strong momentum, the company is hopeful of ending the year on a positive note,” said Titan MD CK Venkataraman.

Courtesy: Live Mint