Titan shares fall 6% as company reports weaker-than-expected Q4 results

Shares of Titan Company Ltd slumped on Monday after the company reported lower-than-anticipated financial results for the fourth quarter of the fiscal year 2023-24 (Q4 FY24).

At 10:40 am, the stock was trading at ₹3,297, down 6.6%, on the National Stock Exchange (NSE). On the BSE, the scrip was down 6.6% at ₹3,298.

The company's total market capitalisation stood at ₹2,92,747 crore, while the free float market cap was ₹1,37,468 crore.

Titan reported a 5% increase in consolidated profit after tax (PAT) to ₹771 crore for the quarter that ended on March 31, 2024, compared to ₹736 crore in the year-ago period, according to a regulatory filing released on Friday after the market hours.

Experts had pegged PAT to rise 10% year-on-year.

Total income jumped to ₹11,472 crore during Q4 FY24 from ₹9,419 crore in the fourth quarter of FY23.

For FY24, the company posted a consolidated net profit of ₹3,496 crore against ₹3,274 crore in the previous fiscal.

The jeweller and watchmaker's earnings before interest, tax, depreciation and amortisation (EBITDA) for Q4 FY24 was at ₹1,109 crores, while EBITDA margins fell by 90 bps YoY to 9.9 per cent.

Total income for FY24 stood at ₹47,501 crore against ₹38,675 crore in FY23.

"As we look forward to FY25, all businesses of the company are single-mindedly continuing to focus on satisfying the ever-evolving needs of our lifestyle consumers," Titan Company MD C K Venkataraman said.

Titan's Board had also recommended a dividend of ₹11 per share of ₹1 face value, subject to approval from the company's shareholders.