Titan Company shares rose over 3 per cent in Friday’s trade post the Tata group firm’s June quarter update, with key public shareholder Rekha Jhunjhunwala, the wife of late seasoned investor Rakesh Jhunjhunwala, seeing a nearly Rs 500 crore jump in notional value on her 5.29 per cent stake in the jewellery maker.
In a regulatory filing, after market hours on Thursday, Titan said it recorded revenue growth of 20 per cent year-on-year (YoY) for Q1 with all key consumer businesses exhibiting double-digit growth in the June quarter.
Titan’s mainstay jewellery business impressed with a growth of 21 per cent YoY as it added a total of 18 stores last quarter to take its total store count to 559.
“Buyer growth was higher than average ticket size growth for this period. Despite significant volatility in gold prices throughout the quarter, Akshaya Tritiya sales in April and wedding purchases in June were robust. The key categories of gold and studded grew well with no notable change in the overall product mix. New store additions, golden harvest and exchange programs continued to do well during the quarter,” Titan CFO Ashok Sonthalia said.
Tanishq added a new store in Sharjah, thereby expanding its international presence to seven stores in the Gulf region and one store in the USA. The domestic new store additions consisted of nine stores in Tanishq and eight stores in Mia by Tanishq.
Titan’s watches & wearables division’s 13 per cent YoY growth consisted of 8 per cent growth in analog watches segment and 84 per cent YoY growth in wearables.
“Brand Titan and international brands saw strong buying momentum clocking handsome double-digit growths. Consumer preferences for premium brands resulted in a good uptick in the average selling price for watches,” the company said.
Amongst key channels, Helios chain, large format stores (LFS) and e-commerce clocked higher growth rates compared to others. Of the 26 new stores added in the quarter, 14 stores were in Titan World, nine stores in Helios and three stores in Fastrack, respectively.
Jhunjhunwala Portfolio Glitters
Titan Company shares climbed 3.39 per cent to hit a fsh record high of Rs 3,211.10 within minutes into trading. Titan Company commanded a market capitalisation of Rs 2,85,077 crore at all-time high level, up Rs 9,357 crore from Rs 275,720 crore in the previous session. Jhunjhunwala made Rs 494 crore worth notional gains on her 5.29 per cent stake in Titan Company. Her holding in the stock was worth Rs 15,080.57 at record levels, data compiled from corporate database AceEquity suggests.
Comments
0 comment