Titan Company is going to release its performance reports for the third quarter of the financial year 2025 on Tuesday, 4th February. Tata Group’s jewelry-making company is expected to show decent performance in Q 3 FY 25, benefiting from the festival season and marriage season.
Sterling analysts are forecasting that Titan Company will have nearly negligible profit in the report of the quarter that ended December 2024 because of one-off inventory. However, the sales growth of the company is expected to be strong in the next years.
Titan’s revenue from operations for the Q3FY25 is estimated to rise by 25% on a YoY basis. However, the net profit of Titan for a similar period is expected to remain stagnant due to exceptional items as per the average estimates of five brokerage firms.
It is forecasted that the company’s adjusted net profit will increase to around 20% year on year.
Titan Q3 Update
Titan Company has posted a standalone profit growth of 24% YoY YoY in the third quarter of financial year 25. The total stores of the companies operating through CaratLane and International were 69 stores, a net increase in the quarter that has made a total of 3 240 stores of Titan Company stated in the Q3 business update.
Non-Export Jewellery sales increased by 25% on a YoY basis due to good demand during the festive season. High single-digit buyer growth with double-digit tick size growth for ‘Diwali’ reflected solid consumer pull. Gold (plain) had the most significant growth rate of 24 % YoY due to the rise in gold prices, as noted by the company.
Watches & Wearables business was up by 13% YoY, and EyeCare had a growth of 17% YoY for both Retail/ E-commerce in revenue as well as buyers.
In the Emerging Businesses, Fragrances were higher by c. 27%, Fashion accessories were down by c. 20%, and Taneira was stagnant YoY, respectively. Total caratlane sales were up by 25% on the year. This was boosted by an improvement of 26% in the studded portfolio for the year.
Segment Performance Insights
- Jewelry Segment: Expected to lead revenue growth with a 26% increase, driven by high consumer spending during key buying periods such as Diwali and wedding seasons.
- Plain Gold Jewelry: Anticipated to grow by 24%, benefiting from elevated gold prices.
- Gold Coin Sales: Projected to rise significantly by 48%, indicating strong investment sentiment during auspicious buying occasions like Dhanteras.
- Studded Jewelry: It is likely to see a 21% growth, marking its highest quarterly increase in FY25.
- Watches & Wearables: Expected to grow by 15%, aided by festive sales and a shift towards premium products.