The consolidated net profit in the second quarter of the current financial year (Q2FY25) decreased to Rs 704 crore compared to Rs 916 crore net profit in Q2FY24
Registering a 23.1 per cent year-on-year (YoY) decline, Titan Company’s consolidated net profit for the second quarter of the current financial year (Q2FY25) decreased to Rs 704 crore compared to Rs 916 crore during the same period a year ago. This is on account of the custom-duty related losses. The financial results of the company showed that its consolidated income of the company grew 26 per cent YoY during the quarter.
Titan recorded a consolidated income of Rs 13,660 crore in the recently concluded quarter, an increase from Rs 10,837 crore in Q2FY24. The consolidated revenue from operations (sale of products/services) stood at Rs 13,473 crore in Q2FY25, up from Rs 10,708 crore in Q2FY24. The profit before tax (PBT) was lower by 24.3 per cent YoY at Rs 948 crore compared to Rs 1,252 crore in Q2FY24.
The company saw its total income from the jewellery business grow 26 per cent to Rs 10,763 crore in Q2FY25 on a standalone basis compared to the same period a year ago. Its India business grew 25 per cent in the same period.
“The custom duty reduction saw revival in consumer interest as gold prices cooled off temporarily. The ensuing gold rush lasted well into mid-September. Buyer growth was healthy and well accompanied by increase in average selling prices, both exhibiting double-digit growths. During the quarter, in India, Tanishq opened 11 new stores (net), Mia added 12 and Zoya added 1 store respectively,” as stated by the company in its earnings release.
The company’s watches and wearables business recorded a total income of Rs 1,301 crore, up 19 per cent over Q2FY24. The domestic business grew 19 per cent in the same period. The analog segment recorded a 26 per cent revenue growth over Q2FY24 led by the Titan brand clocking 32 per cent growth in the same period.
“After a muted Q1, Q2 witnessed encouraging growth across key businesses. Jewellery clocked healthy double-digit growth for the quarter. Our portfolio approach in this business of straddling diverse customer needs through the brands of Tanishq, Mia, Zoya and Caratlane is working well. The buyer growth metrics were fairly strong and in good double-digits across gold and studded product categories,” stated CK Venkataraman, Managing Director of the Company.
The Managing Director also stated that the company was confident about the competitiveness of each of its businesses and optimistic about its performance for the rest of the financial year.
