Titan Q3 results: Total income rises 25.5% to ₹17,723 crore, net profit falls marginally to ₹1,047 crore

The company's profitability was impacted by a one-time loss on the inventory, from the reduction in the customs duty on gold.

However, the company's total income rose by 25.5% YoY to ₹17,723 crore in Q3 FY25 from ₹14,122 crore in Q3 FY24.

Titan's earnings before interest and taxes (EBIT) stood at ₹1,627 crore in Q3 FY25, up 5.2% YoY from ₹1,547 crore in the year-ago period. Additionally, its EBIT margin contracted by 177 bps to 9.2% from 11% in Q3 FY24.

Jewellery segment hits record high sales for FY25

Titan reported a record-high 26.62% YoY growth for the financial year in its consolidated sales revenue from jewellery at ₹16,134 crore in the three months ended December 31, 2024, compared to ₹12,742 crore in the year-ago period. This was driven by “consumer preference for gold, both as adornment jewellery and as a store of value continued to remain fairly strong”.

The company’s revenue from watches and wearables rose 15.31% YoY to ₹1,137 crore in Q3 FY25 from ₹986 crore in the year-ago period.

Further, its consolidated sales from eyewear also grew in double digits at 16.67% YoY to ₹196 crore from ₹168 crore in Q3 FY24.

"The festive quarter gone by firmly established the FY25 growth trajectory after a muted Ql and healthy Q2. Jewellery saw its strongest quarter (yet) for the fiscal year, growing well in excess of 25% at a retail level. Consumer preference for gold, both as adornment jewellery and as a store of value continued to remain fairly strong," said CK Venkataraman, Managing Director of Titan.

“Our analog watches clocked a healthy retail growth of 20%, reinforcing Titan's customer value proposition in the eyes of the consumer. EyeCare's retail growth returning to double-digits was encouraging," Venkataraman said.

“The custom duty-related losses on the inventory (held at the time of the duty change) have been fully realized in this quarter and hence the profitability is lower to that extent. We are committed to investing in the growths of all our businesses, specifically the emerging ones, to help them scale faster. We remain optimistic on our performance and hope to end the fiscal year with a good growth over FY24," Venkataraman added.

Stock performance

Shares of Titan closed in the green at ₹3,588, up 0.22%, on February 4 on the National Stock Exchange (NSE). However, the company released its Q3 report card after market hours.

The stock has gained 8.29% over the past five days and 3.39% over the last month. The scrip has rallied 6.28% during the past six months and 10.27% on a year-to-date basis.