Titan Company slumped 5.67% to Rs 396.25 at 10:06 IST on BSE after net profit rose 28.6% to Rs 239.98 crore on 55.7% growth in income from operations to Rs 3564.67 crore in Q2 September 2014 over Q2 September 2013.
The Q2 result was announced after market hours yesterday, 30 October 2014.
Meanwhile, the S&P BSE Sensex was up 217.24 points or 0.79% at 27,563.57.
On BSE, so far 3.31 lakh shares were traded in the counter as against average daily volume of 1.32 lakh shares in the past one quarter.
The stock hit a high of Rs 415 and a low of Rs 391 so far during the day. The stock had hit a record high of Rs 424.25 on 30 October 2014. The stock had hit a 52-week low of Rs 203 on 30 January 2014.
The stock had outperformed the market over the past one month till 30 October 2014, surging 3.04% compared with Sensex's 2.69% rise. The scrip had also outperformed the market in past one quarter, jumping 22.54% as against Sensex's 4.83% rise.
More From This Section
The large-cap company has equity capital of Rs 88.78 crore. Face value per share is Re 1.
Titan Company's jewellery business experienced an extra-ordinary growth due to redemption of Golden Harvest accounts of existing customers which had to be closed due to regulatory changes, the company said.
The Watches division has also done well in the quarter backed by successful activations for both Titan and Fastrack brands, Titan said. A new brand campaign on 'gifting of time' went on air for Titan watches. The income for watches was Rs 527.46 crore in Q2 September 2014, compared to Rs 439.07 crore in Q2 September 2013. The jewellery business recorded an outstanding income growth of 64.8% in Q2 September 2014 over Q2 September 2013. It had an income of Rs 2929.38 crore in Q2 September 2014, compared to Rs 1777.39 crore in Q2 September 2013. Other businesses of the company comprising Precision Engineering, a B2B business, the Eyewear business and accessories grew by 20.9% in Q2 September 2014. The combined income of these businesses was Rs 137.90 crore in Q2 September 2014. Their income for Q2 September 2013 was Rs 114.03 crore.
The Titan Company retail chain is 1136 stores strong, as on 30 September 2014 with a retail area crossing 15.3 lac sq.ft. nationally for all its brands.
Mr. Bhaskar Bhat, Managing Director of the company said, "This was an extra-ordinary quarter for the company and we witnessed an income growth of over 55% on account of an encouraging performance by all divisions, especially the jewellery business where the accounts of our Golden Harvest Scheme customers had to be closed based on regulatory changes. We have also seen an improvement in consumer sentiment in the second quarter and many of our brands ran successful activations to build on this sentiment and the festive mood. Gold prices have been stable and inflation is falling which would help in providing a lift to the economy. However, the coming quarter will have to be observed and tackled appropriately as some channels are beginning to report lower walk-ins. All our brands will invest in new campaigns in this quarter to improve our connect with the consumer."
Titan Company (earlier known as Titan Industries) is India's leading producer and retailer of watches, jewellery and eyewear.
Powered by Capital Market - Live News