Bengaluru, February 2, 2023: Titan Company (“Titan”), India’s leading consumer lifestyle retailer, today announced its results for the quarter and nine months ended December 31, 2022.
Financial Highlights (Rs in crores)
Note: - Total Income excludes bullion sales
Business performance:
Titan (Standalone) recorded a growth of 12 percent in Q3FY23 compared to Q3FY22. The corresponding PBT stood at Rs1,267 crores, lower by 4 percent, compared to Q3FY22.
Jewellery: Total Income of Rs9,518 crores registered an increase of 11 percent compared to Q3FY22. The India business grew by nine percent in the same period, backed by healthy consumer demand during the festive season. The customer walk-ins were robust and consumer preference for differentiated designs were prominent across categories. Business continued to invest in brands and digital capabilities and pursue market share gains through competitive offers and pricing. EBIT stood at Rs1,236 crores clocking 13.0 percent EBIT margin.
The high visibility campaigns during the festive period comprised of “Colour Me Joy – The Carnival Edit” and new designs centred on “Alekhya” - Tanishq’s festive collection. Tanishq opened its first boutique store in New Jersey, USA in December 2022 taking the total international count to 6 stores. A total of 22 stores (excluding CaratLane) were added during the quarter, taking the total Jewellery store count to 510 spread across 247 cities.
Watches and wearables: Continuing its robust growth trajectory, the Business recorded a Total Income of Rs811 crores, up by 15 percent compared to Q3FY22. A slew of exciting product launches in the fiscal year coupled with the festive season contributed to the Wearables space exhibiting a multi-fold growth over the same period last year. Business reported an EBIT of Rs89 crores clocking an EBIT margin of 11.0 percent.
The analog watches segment saw multiple product launches like Edge Squircle, Titan Quartet and new range of mechanical watches and Raga Delight watches. A total of 48 stores were added during the quarter, taking the total Watches and wearables store count to 953 spread across 293 cities.
Eyecare: Total Income of Rs174 crores was up by 12 percent compared to Q3FY22. Business reported an EBIT of Rs32 crores clocking an EBIT margin of 18.4 percent. Titan Eye Plus opened its first international store in Dubai in the month of December 2022. The network expansion continued with 36 new stores added during the quarter taking the total store count to 863 spread across 354 cities.
Emerging businesses: Total Income of Rs89 crores for the Emerging Businesses comprising of Fragrances and Fashion Accessories (F&FA) and Indian Dress Wear (Taneira) grew by 71 percent compared to Q3FY22. Within this, F&FA clocked 37 percent growth whereas Taneira grew by 150 percent over the same period last year. The Emerging Businesses recorded a loss of Rs17 crores.
The F&FA Business launched the ‘IRTH’ brand of women bags during the quarter. IRTH bags, whilst being stylish are centred on design and functionality and represent contemporary women and their evolving needs. The quarter was a season of festivals and weddings. Taneira, added cheer and joy to consumer celebrations through its exquisite collection of handcrafted sarees and kurta sets. The brand continued to expand rapidly its pan-India presence adding 5 new stores during the quarter, taking the total store count to 36 covering 17 cities.
Key subsidiaries of the company:
CaratLane Trading Private: Total Income grew by 51 percent as compared to Q3FY22 to Rs677 crores driven by gifting campaigns around the festive season to capture consumer buying intent for the period. Profit Before Taxes was Rs51 crores with a margin of 7.5 percent.
The #MereStyleKiDiwali campaign focusing on family gifting was launched during the festive season of Karva Chauth, Dussehra, Dhanteras, Diwali, and Bhai Dooj. Jewellery gifting campaigns for kids saw the exciting launch of the Harry Potter collection in an partnership with Warner Bros. Business expanded its presence in Tier-2 and Tier-3 cities with the addition of 18 new stores for the quarter taking the total CaratLane store count to 175 spread across 67 cities.
Titan Engineering and Automation: The Business recorded a total Income of Rs125 crores, a growth of 53 percent compared to Q3FY22. The loss for the quarter was Rs0.4 crores. The Business saw one of its highest ever order inflows of Rs344 crores during the quarter.
Other update:
Titan is happy to inform that it has joined the "Tata Neu" platform which brings some of the most loved Tata brands under one powerful super app. Titan's loyalty program members will now be able to enjoy the privileges and exclusive benefits offered by Tata Neu under its unified loyalty program - NeuPass
C K Venkataraman, MD of the Company stated that, “The quarter witnessed a strong festive consumer demand and we delivered a healthy double-digit growth of 12 percent over a strong base of Q3FY22. We continue to pursue market share growth and are actively investing in capabilities across all of our Business segments. Our international endeavour is shaping well and we are quite satisfied with the consumer response we are getting in the chosen international markets."
Conference Call:
A conference call is scheduled for February 2, 2023 at 4:30 PM. The call details are available at https://www.titancompany.in/investors/investor-relations/quarterly-results
