Titan Company surged 5.25% to Rs 350.55 at 11:02 IST on BSE after the company said that Q3 December 2016 started off on a high of the festive season and long awaited resurgence of the consumer sentiment.
The company issued the business update after market hours yesterday, 2 January 2017.Meanwhile, the S&P BSE Sensex was up 37.63 points or 0.14% at 26,633.08.
On the BSE, 1.34 lakh shares were traded on the counter so far as against the average daily volumes of 3.25 lakh shares in the past one quarter. The stock had hit a high of Rs 351.55 and a low of Rs 339 so far during the day.
The stock had hit a 52-week high of Rs 445 on 7 September 2016 and a 52-week low of Rs 296.30 on 21 November 2016. It had outperformed the market over the past one month till 2 January 2017, surging 6.47% compared with the Sensex's 1.39% rise. The scrip had, however, underperformed the market over the past one quarter declining 15.82% as against the Sensex's 4.56% fall.
The large-cap company has equity capital of Rs 88.78 crore. Face value per share is Rs 1.
Titan said it had one of its best festive seasons in the last few years with both Tanishq and Watches performing well above expectations.
Titan said that post the announcement of demonetization on 8 November 2016, all consumer facing businesses of the company witnessed a drastic slowdown for a few days after which recovery was clearly visible in modern retail and dedicated retail channels.
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While the sale in these channels has recovered to pre-demonetisation levels, the sale in the trade channel in Watches (the multi brand outlets) has taken a hit and is yet to recover as most transactions in these outlets have been on cash basis, the company said.
The company is in the process of introducing multiple modes of electronic payment in all its stores, including UPI, E-wallets etc in order to provide customers with a plethora of payment options.
The company will continue the thrust on all its growth levers and introduce well designed products and collections to attract customers, Titan said. It also plans to continue with store expansions and investment plans in order to capitalize on the opportunities for growth and expansion.
Titan Company's net profit rose 23.5% to Rs 180.76 crore on 0.7% decline in net sales to Rs 2636.44 crore in Q2 September 2016 over Q2 September 2015.
Titan Company's main business lines are watches, jewellery and eyewear.
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