Titan Posted Q3 Results
The watch to jewelry maker, Titan Company (Titan) reported a growth of 9.4 per cent in its revenue in Q3FY15 over same period last year and an impressive revenue growth of 16 per cent for the nine month period ended December 2014. The overall revenue in the third quarter, ended December 31, 2014, was Rs 2898 crore, as compared to last year’s revenue of Rs 2651 crore during the same period. The revenue for nine months ended December 31, 2014, stands at Rs 9317 crore, registering a growth of 16 per cent over last year.
The revenue from watches stood at Rs 442.63 crore during Q3FY15, marginal lower than same period last year. The jewellery business recorded a good growth of 11.2 per cent in third quarter on yearly basis. The revenue growth was primarily because of Tanishq’s two successful campaigns in this quarter, the “affordable Tanishq” and a new “wedding” campaign. Tanishq reported a revenue of Rs 2347.39 crore during the quarter under review against Rs 2110.70 crore last year same period. The combined revenue from other businesses of the company comprising Precision Engineering, a B2B business, the Eyewear business and accessories grew by 14.8 per cent to Rs 133.67 crore as compared to Rs 116.42 crore during the same period last year.
On profit front, the company’s profit before tax for the quarter period ending December 2014 showed a growth of 6.6 per cent, at Rs 243 crore. The net profit for the same period was Rs 190.73 crore for third quarter and Rs 607.98 crore for the nine-months ended December 2014. Net profit for the third quarter grew by 15.2 per cent on yearly basis.
Titan retail chain is 1172 stores strong, as on December 31, 2014 with the retail area crossing 1.5 million square feet nationally for all its brands. A total of 151 stores were added by Titan brands in the nine month period till December 2014.
Mr. Bhaskar Bhat, Managing Director of the Company stated that “Titan Company, with a large portfolio of strong brands, operating in multiple industries, grew by over 9 per cent in the third quarter. This period, which is a festival quarter, faced heightened activity from e-commerce players, participating in this gifting season. Going forward, the market sentiment is looking good, with the fiscal budget from the new Government coming up, drop in inflation and positive global factors like the slump in oil prices. The Company is gearing up for the last quarter with launch of new products and advertising campaigns that are lined up, including activation by some of the brands.”