Titan Q1 revenue upsurges by 19% while profit falls 2% YoY to Rs 777 crore

Titan, a retailer of fashion and lifestyle products owned by the Tata Group, reported a 2% decline in its standalone profit after tax for the quarter ended in June 2023.

Its quarterly revenue increased 19% YoY to Rs 10,306 crore. The company's margin dropped 239 bps to 9.9% during the quarter.

Revenues in Titan's core jewelry category increased 19% YoY to Rs 9,070 crore due to strong demand during Akshaya Tritiya and an alluring gold exchange program. In comparison to Q1FY23, buyer growth was 14%, and average ticket sizes increased by 6%.

Additionally, Titan made expansion investments through aggressive exchange offers, brand-building initiatives, and price rationalizing programs to increase market share.

Titan's watches and wearables business reported total revenue of Rs 890 crore, an increase of 13% over Q1FY23 and supported by an 81% increase in the wearables market. The premiumization theme was prominent, with Titan and international brands seeing strong buying momentum and recording solid double-digit growths in the analog market.

In the range of wearables, the Fastrack brand had the fastest growth, registering significant increases. EBIT for the quarter was Rs 102 crore with an 11.5% EBIT margin.

Revenue for the eyecare unit increased 11% YoY to Rs 203 crore in Q1. EBIT was 35 crore rupees with a 17.2% EBIT margin.

The emerging businesses, which include Indian dress wear, fashion accessories, and perfumes, grew by 37% YoY in the quarter. Taneira increased 81% YoY. A loss of Rs. 27 crore was recorded by this business sector.

With a margin of 2.1%, Caratlane's total quarterly income increased by 32% to Rs 640 crore.

Titan Engineering and Automation Limited (TEAL) recorded a loss of Rs 12 crore with business falling by 32% YoY to Rs 61 crore. The aerospace industry saw record-high order bookings, and passenger traffic reached pre-Covid levels both domestically and internationally. Order bookings in the manufacturing services sector were also strong.

Source: Media Reports