Titan stock rallies after strong Q3 earnings, standalone revenue rises to Rs9,381cr driven by robust growth across consumer biz led by festive demand

4 Feb 2022 , 11:43 AM

Riding on the back of robust growth across consumer business, Titan Company surpassed street’s estimates on its financial earnings for the quarter ending December 2021 (Q3FY22). The consolidated net profit of Titan stood at Rs1,012cr nearly doubling from Rs530cr in the same quarter last year. Consolidated revenue from the sale of products stood at Rs9,903cr higher from Rs7,243cr of December quarter last year.

On a standalone front, net profit stood at Rs987cr in Q3FY22 more than doubled from Rs419cr in the corresponding quarter of the previous year. Standalone revenue from the sale of products came in at Rs9,381cr increasing from Rs6,912cr of Q3FY21.

With the Jewellery division doing exceedingly well, and other divisions also witnessing growth over pre-pandemic levels, the standalone total income for the quarter was Rs9,570cr, including bullion sale of Rs54cr, a growth of 3 1 % compared to total income of Rs7,324cr in Q3 FY21 that included bullion sale of Rs340cr. The total income for 9 months FY22 was Rs20, 104cr, registering a growth of 48% compared to Rs13,614cr in the same period of FY21.

Titan’s sales were strong in Q3 driven by festive purchases in October and November.

As per Titan’s financial statement, driven  by festive purchases in October and November, the Jewellery business registered an income of Rs8,563cr with 37% growth in Q3 FY22 compared to Rs6,249cr in Q3 FY21 (excluding bullion sale in both the periods). The Watches and Wearables business recorded an income of Rs708cr with 29% growth in Q3 FY22 compared to Rs550cr in Q3 FY21. The Eyewear business recorded an income of Rs156cr with 26% growth in Q3 FY22 compared to Rs124cr in Q3 FY21. The other segments of the Company comprising Indian Dress Wear and, fragrances & accessories recorded an income of Rs52cr in Q3 FY22 compared to Rs36cr in Q3 FY21 , a growth of 44%.

The Company’s retail chain (including CaratLane), spreads across 2,064 stores in 323 towns having an area exceeding 2.7 million sq. ft. In the 9-month period from April’2 1 to December’21 , the Company has added (net) 149 stores.

At around 11.40 am, Titan was trading at Rs2494.90 per piece up by Rs21.75 or 0.9% on Sensex. The stock was near the day’s high of Rs2519 per piece.