Titan down nearly 4% after company shares quarterly performance updates

The company reported an 8% YoY in domestic jewelry operations during the quarter. This is the first time in nine quarters where the jewellery business has grown in single digits, according to a media report.

Tanishq's secondary sales saw double-digit growth during the week of Akshaya Tritiya in comparison to the same period last year. Titan added a total of 61 stores during the quarter bringing the total number of stores up to 3,096.

However, the company witnessed an impact on consumer demand and a slowdown in the jewelry segment as gold prices rose 20% YoY. Additionally, the quarter also saw lower wedding days and lackluster sentiments in comparison to the corresponding period last year.

Titan’s domestic growth mainly came through higher average selling prices while buyer growth was in the low single-digits. Growth of gold (plain) was in the high single digits while studded growth was moderately lower.

During the quarter, Titan added 33 new stores in India, of which Tanishq accounted for 11 stores, Mia for 19, and 3 in Zoya. Tanishq also opened a new store in Muscat, Oman during the quarter.

The company’s Watches & Wearables segment saw a growth of 14% YoY with Analog seeing a 17% YoY rise in revenue while revenue for wearables declined 6% YoY. Titan stated that customer’s preference was more toward premium products. The division saw the addition of 17 new stores in the quarter.

Eye care saw a 3% YoY growth in domestic business and the company witnessed volume growth with its foray into affordable fashion. The segment saw the addition of 3 stores during the quarter.

The company’s emerging business, Taneira’s revenue was up 4% YoY and opened 4 new stores during the quarter. Meanwhile, the Fashion and Fragrances saw a 4% YoY uptick in revenue. The fragrances segment saw a growth of 13% YoY while fashion accessories saw a decline of 15% YoY. Caratlane’s business grew 18% YoY and opened 3 new stores during the quarter.

Shares of the company have declined by nearly 15% since the beginning of the year. The stock has gained over 3% in the last one year.