Titan Q3 Update: Sales Rise Aided By Festive And Wedding Season Demand
The company's revenue rose 36% year-on-year in the three-month period, according to its quarterly update.
Sales at Titan Co. rose steadily during the quarter ended December, buoyed by demand during the festive period last year and the ongoing wedding season.
Revenue of India’s largest branded jewellery maker rose 36% year-on-year in the three-month period, according to the company’s quarterly update.
The mainstay jewellery segment, which contributes nearly 80% to total revenue, rose 37% over the preceding year. This was followed by the watches and wearables segment at 28% and eyewear arm at 27%.
“Both walk-ins and customer conversion were significantly higher compared to last year,” the Tata Group firm said. It added 89 stores across its consumer businesses to take its total store count to 1,935 as of Dec. 31.
Jewellery
There is an increase in the number of new buyers driven partly by Tanishq’s regionalisation in focus markets.
While ticket sizes were stable, they were nearly 15% higher than pre-pandemic levels.
Contribution from tier-1 towns continued to improve and was near pre-pandemic levels.
Both plain and studded categories witnessed double-digit growth; share of studded in the overall pie has improved over the same period a year ago.
Gold harvest scheme enrollments logged double-digit growth rates.
Tanishq’s network expansion of 14 stores on a net basis includes two new stores in Dubai at prime locations of Dubai mall and Al Barsha.
Watches And Wearables
The division witnessed growth momentum with multi-brand channels, both online and offline, growing in the quarter, on the back of Titan brand.
Premiumisation journey has helped gain higher value.
Sales from trade and large format stores in particular clocked higher growth followed by retail.
Tier 2 and tier 3 towns did better than metros.
A TV campaign in October with a young take on Titan Mechanicals saw 2.5X jump in their sales.
“Titan Maritime II” and “Raga Love All” were launched in Q3.
Eyewear
Growth was driven by sunglasses and frames in international brands.
Added 53 stores during the quarter, taking total store count to 682.
Other Business: Fragrances And Accessories, Taneira
Revenue rose 44% during the quarter.
Good growth was witnessed across all retail and departmental stores.
Taneira opened two stores at Noida and Bengaluru, taking total store count to 16 over seven cities.
Among its key subsidiaries, Titan Engineering and Automation Ltd.’s revenue contracted 9% year-on-year, while CaratLane’s rose 64%.
“The automation solutions business has seen a significant improvement over the previous year and is showing encouraging signs in the market with new orders coming in from different industry verticals and exports showing similar traction,” Titan said in its update.
The aerospace business, despite its challenges, is showing signs of recovery, the company said.
CaratLane continued to leverage on its omni-channel offerings to customers to achieve robust growth in sales during the festive period.
“Studded share as part of the overall pie witnessed strong gains,” Titan said. “Growth was well distributed with strong momentum witnessed even across lower ticket sizes.”
In December, the company opened its first airport store at Bengaluru.