Titan: Jewellery demand, margins to boost profit

The strong growth came despite the impact of regulatory changes on account of PMLA and the implementation of GST

The Titan stock hit its all-time high last week, on expectations of strong growth for its jewellery business and steady expansion of the watches segment. The company expects the jewellery business, which clocked 36 per cent year-on-year growth in the September quarter (Q2), to end FY18 with a growth of 25 per cent. This business accounts for three-fourths of its overall revenue and 78 per cent of operating profit. The strong growth came despite the impact of regulatory changes on account of the Prevention of Money Laundering Act (PMLA) and the implementation of goods and services tax (GST). 

The prospects for