Bengaluru, February 1, 2024: Titan Company Limited (“Titan”), India’s leading consumer lifestyle company, announced its results today for the quarter and nine months ended December 31, 2023.
Financial Highlights:
Note: Total Income excludes bullion sales in all periods; numbers and growth percentages are rounded to the nearest integers.
Quarterly Business Performance:
Titan (Consolidated) recorded an income growth of 24% in Q3 FY24 compared to Q3 FY23. PBT grew 11% over Q3 FY23 to Rs.1,378 crores.
Jewellery: Total Income for the quarter grew 23% over Q3 FY23 to Rs.11,709 crores. The India business grew by 21% in the same period. The festive season saw healthy double-digit buyer growth. The business continued to run its attractive programmes that helped maintain growth momentum amidst an environment of high gold prices. EBIT at Rs.1,432 crores recorded a margin of 12.2% for the quarter.
Exquisite nano-faceted solitaires signifying brilliance, fire & scintillation were launched during the quarter in the ‘Celeste Solitaire x Sachin Tendulkar’ collection. ‘Dharohar’, Tanishq’s ornate festive collection of opulent jewellery showcasing India’s rich heritage, was well received by customers. The collection, crafted as a tribute to the Tanishq woman, comprised of beautiful Kundan pieces, classic gold, and vintage jewellery with embellished stones waiting to be adorned.
Tanishq expanded its international presence, adding two more stores in the USA in Houston and Dallas and one store in Singapore. Mia opened its first store in Dubai, taking Titan's Jewellery's international footprint to 14 stores. During the quarter, in India, Tanishq opened 18 stores, whereas Mia added 16 new stores. The domestic network now covers 453 stores in Tanishq, 161 stores in Mia, and 8 stores in Zoya.
Watches and Wearables: Business recorded a Total Income of Rs.982 crores, up 21% compared to Q3 FY23. The domestic business grew by 23% in the same period. Analog watches Revenues of Rs.810 crores grew by 18% and the Wearables portfolio revenues grew 65% to Rs.136 crores respectively over Q3 FY23. The premiumization journey saw good progress as both Titan and Helios (International Brands) saw growths largely driven by increase in Average Selling Prices (ASP)?.? In Wearables, Fastrack grew 66% and Titan Smart grew 57% respectively, compared to Q3 FY23. EBIT came in at Rs.55 crores with an EBIT margin of 5.6% for the quarter.
‘Vyb’, a new brand catering to the fast fashion party watches for girls was launched within Fastrack. Similarly, to address the evolving needs of fast fashion for the value conscious consumers, ‘Poze’ was launched under the Sonata umbrella.
During the quarter, 9 new stores were added in Titan World, 11 stores in Helios and 5 stores in Fastrack. The network now covers 655 stores in Titan World, 198 stores in Fastrack, and 223 stores in Helios.
Eye Care: Total Income of Rs.167 crores in Q3 FY24 declined 4% compared to Q3 FY23. EBIT for the business came in at Rs.14 crores clocking a margin of 8.4% for the quarter. ‘Dash be the face’ / ‘Dash Superstar’, an opportunity for boys and girls up to the age of 14 years to participate and become the face of the brand was a notable initiative during the quarter. The event saw participation from 15,000+ children from 300+ cities and 18 states.
Titan Eye+ opened two new stores internationally during the quarter, one each in Dubai and Sharjah taking the international footprint to 3 stores in the GCC region?. The domestic network now covers 905 stores of Titan Eye+ and 8 stores of Fastrack.
Emerging Businesses: Total Income of Rs.112 crores for Q3 FY24 for the Emerging Businesses comprising of Indian Dress Wear (‘Taneira’) and Fragrances, Fashion Accessories (F&FA) grew by 26% compared to the same period last year.
Taneira’s sales grew by 61% compared to Q3 FY23. ‘The Queen’s Collection’ was the highlight for the season of festivals and weddings. The brand hosted an exclusive exhibition, 'Parichay', highlighting indigenous crafts of beautiful Tussar silk creations, Chamba folk embroidery, Zardozi embroidery, Batik with Kantha embroidery, Chitara paintings, Madhubani paintings, and Thangka-inspired paintings etc. Continuing with its efforts to preserve the weaving craft and uplift working conditions of the weavers, Taneira launched a Weavershala at Bhagaiya, Bhagalpur. The brand now supports a total of 13 Weavershalas throughout the country?. 11 new Taniera stores were opened during the quarter, taking the total count to 62 stores covering 29 cities?.
The F&FA business declined by 7% compared to Q3 FY23. In key sub-segments, Women’s Bags recorded 25% growth while Fragrances declined by 6% compared to Q3 FY23. The Emerging Businesses together recorded a loss of Rs.20 crores for Q3 FY24.
Key Subsidiaries of the Company:
CaratLane Trading Private Limited: Total Income grew 32% to Rs.893 crores as compared to Q3 FY23. The season’s campaign #KhulKeKaroExpress focussed on the collection 'Alpona', a 100-year Bengal art form inspiration with eight unique motifs in white ceramic and diamonds. In the wedding season, the first ever Mangalsutra campaign of ‘EveryDay Vows’ was launched aimed at addressing the modern demands of the consumers?. EBIT came in at Rs.82 crores for Q3 FY24 clocking a margin of 9.2%.
CaratLane added 16 new stores (net) in the quarter taking the total store count to 262 stores spread across 105 cities pan-India?.
Titan Engineering & Automation Limited: The Business recorded a Total Income of Rs.202 crores in Q3 FY24, a growth of 61% compared to Q3 FY23. The Automation Solutions (AS) business grew 85% and the Manufacturing Services grew 30% compared to their respective Revenues of Q3 FY23. The order flow in AS business was healthy resulting in a closing order book of more than Rs.600 crores at the end of Q3 FY24?. EBIT for the quarter was Rs.25 crores at a margin of 12.4%.
