Titan Company Q1 profit flat at Rs 777 cr; topline jumps 19% on strong revenue figures across businesses

Operating profit, calculated as EBITDA, came in at Rs 1,103 crore from Rs 1,164 crore last year, while margins shrunk by over 300 basis points to 9.9 percent from 13 percent year-on-year.

Jewellery: For the jewellery segment, the total income came in at Rs 9,070 crore, which is a growth of 19 percent when compared to Q1 of FY23. The EBIT came in at Rs 999 crore with 11.0 percent EBIT margin for Q1FY24, lower than same period last year due to one-time diamond price inventory gains in Q1FY23 but normalised in the current quarter.

Business also undertook investments for growth through aggressive exchange offers, brand building initiatives and pricing rationalization programs to gain market share, Titan said in a filing.

Watches & Wearables: The watches and wearables business recorded a total Income of Rs 890 crore, up by 13 percent as compared to Q1 of FY23, backed by a strong growth of 81 percent in the wearables segment. EBIT came in at Rs 102 crore with an EBIT margin of 11.5 percent for Q1 of FY24.

EyeCare: The eyecare segment reported a total income of Rs 203 crore, up by 11 percent as against Q1 of FY23. EBIT came in at Rs 35 crore with 17.2 percent EBIT margin for Q1FY24.

"The year has started well for us with double digit revenue growth across business segments. The Jewellery business remained the star performer with a 19 percent growth on a year-on-year basis. We are pursuing market share gain across categories and investing in various capabilities and retail network expansion. Our international foray is also shaping up well. We remain optimistic about our performance for rest of the financial year," said Managing Director CK Venkataraman.

Shares of Titan were trading 1.19 percent lower at Rs 2,966.30 apiece in today's late afternoon deals. On a year-to-date basis, the stock jumped 15.60 percent, while it rallied 24.37 percent in the last one-year period.