Titan, a leading player in consumer discretionary goods, reported a 7% year-on-year (YoY) surge in its standalone net profit, amounting to INR 786 crore, aligning closely with market expectations.
The profit matched the Street’s estimate of INR 794 crore.
In January-March 2024, net sales surged 17% year-on-year to INR 10,047 crore, compared to INR 8,553 crore in the corresponding period last year. The Board has proposed a dividend of INR 11 per equity share for the fiscal year 2024.
The Board has additionally endorsed the reappointment of CK Venkataraman as the Managing Director of the company, extending his tenure from October 2024 to December 2025.
Continue Exploring: Titan Company reports strong double-digit revenue growth of 17% YoY in Q4 2024, driven by jewellery and emerging businesses
EBIT increased by 8% year-on-year to INR 1,139 crore in the fourth quarter, although EBIT margins experienced a 95 basis points drop, settling at 11.1%.
At a consolidated level, Titan witnessed a 22% total income growth, reaching INR 11,472 crore. Concurrently, consolidated profit after tax (PAT) increased by 5% year-on-year to INR 771 crore.
Breaking it down by segment, the total income from the jewellery business surged by 19% year-on-year to INR 8,998 crore, with the Indian business experiencing a 20% rise during the same period.
The segment’s EBIT reached INR 1,089 crore for the quarter, carrying a margin of 12.1%. Over the full year, the jewellery segment saw a 20% total income increase to INR 38,353 crore, with EBIT totaling INR 4,726 crore.
The watches and wearables business achieved a total income of INR 940 crore, marking an 8% year-on-year increase. Concurrently, the domestic business experienced a 9% year-on-year growth in the same period.
The segment’s EBIT amounted to INR 80 crore, yielding a quarterly margin of 8.5%. Over the full year, the division achieved a total income growth of 18%, reaching INR 3,904 crore.
Revenue from analog watches increased by 9% year-on-year to INR 787 crore, propelled by premiumization and increased average price realizations. Wearables revenue grew by 3% year-on-year while doubling in volumes compared to the same period last year.
In the March quarter, the EyeCare business generated a total income of INR 166 crore, remaining unchanged compared to the previous year’s period. The business achieved an EBIT of INR 8 crore, resulting in a quarterly margin of 4.8%.
Throughout the full year, the EyeCare division witnessed a 5% total income growth, reaching INR 724 crore. The corresponding EBIT for the year amounted to INR 85 crore, with margins standing at 11.7% for the entirety of the year.
The emerging businesses, encompassing Indian dress wear, fragrances, and fashion accessories (F&FA), achieved a total income of INR 97 crore in the March quarter, marking a 26% year-on-year growth. However, the combined businesses incurred a loss of INR 22 crores in the reporting quarter.
Continue Exploring: Titan’s CaratLane jewellery line to make US debut in FY25
Taneira witnessed a 36% sales growth compared to Q4FY23. Moreover, the brand’s 5th edition of the Taneira Saree Run in Hyderabad attracted over 4,200 saree enthusiasts, celebrating the saree as a symbol of liberation.
The F&FA business experienced a 13% year-on-year increase in the fourth quarter. Notably, fragrances rose by 9%, while women’s bags surged with a remarkable 97% growth in their respective key sub-segments.
Among key subsidiaries, Caratlane Trading recorded a 29% total income growth, reaching INR 748 crore. The EBIT for the quarter stood at INR 52 crore.
“FY24 marked another gratifying year for Titan. Our Jewelry business maintained its upward trajectory, reaching a significant milestone of over INR 40,000 crore in consumer sales. As we anticipate FY25, all divisions of Titan Co are steadfastly committed to catering to the ever-evolving preferences of our lifestyle consumers,” stated CK Venkataraman, MD.
On Friday, Titan’s stock closed 1.5% lower at Rs 3,514.75 on the NSE.
