Titan Company on Friday reported a 63% year-on-year jump in consolidated net profit to Rs 1,777 crore for the June quarter (Q1FY27), beating Bloomberg consensus estimates of Rs 1,396 crore for the period, as strong operating performance drove earnings higher.
Consolidated revenue rose 29% year-on-year to Rs 21,356 crore, slightly below the estimated Rs 21,451 crore. The growth came amid volatile gold prices during the quarter. Titan derives over 88% of its revenue from its jewellery business. The rest comes from segments such as watches, eye wear, fragrances, bags and sarees.
Earnings before interest tax depreciation and amortisation (Ebitda) climbed 58% year-on-year to Rs 2,890 crore, significantly ahead of the Rs 2,240-crore estimate. Ebitda margins expanded to 13.5% from 11.1% a year ago, also beating the estimated 10.4% for the period.
Jewellery Segment Drives
Titan’s jewellery business remained the key growth driver. Revenue from the segment rose 30% year-on-year to Rs 19,002 crore on festive demand, while Ebit jumped 68% year-on-year to Rs 2,360 crore in the quarter under review.
“Q1FY27 was a strong opening quarter for us, with our consumer businesses registering 40% year-on-year growth. Through innovation and design led differentiation, our portfolio of brands across jewellery, watches, eyecare and emerging businesses continue to deliver exceptional value to customers seeking premium offerings,” Ajoy Chawla, managing director, Titan, said.
The results highlight a sharp improvement in Titan’s profitability, said analysts, with Ebitda growth outpacing revenue growth during the quarter. The jewellery business continued to contribute significantly to the company’s overall performance.
The country’s largest jewellery retailer added 33 new stores in India and had two new store openings in the GCC region.
Shares of Titan closed trade 0.82% down to Rs 4,943 apiece on the BSE on Friday. The results were disclosed after market hours.