BackTitan Q3 result: Net profit up 12% at ₹530 crore
Total income during the quarter stood at ₹7,659 crore, up 16.93% as against a total income of ₹6,550 crore in the year-ago period, the company said
PremiumNEW DELHI : Tata group firm Titan Company on Wednesday reported an 11.81% increase in consolidated net profit to ₹530 crore for the third quarter ended in December 2020, led by income growth in the jewellery division.
The company had posted a net profit of ₹474 crore in the corresponding period last fiscal. Total income during the quarter stood at ₹7,659 crore, up 16.93% as against a total income of ₹6,550 crore in the year-ago period, the company said in a BSE filing.
"Titan Company reported a return to year on year growth in sales in Q3 of FY 2020-21 led by an impressive festive season recovery in the jewellery division," the company said.
Titan's jewellery division recorded an income of ₹6,249 crore for the quarter (excluding gold bullion sales) as compared to ₹5,409 crore last year, a growth of 16%.
The watches and wearables business in the quarter stood at ₹550 crore against ₹625 crore in the previous year, a decline of 12%.
The eyewear business saw revenues declining by 7% in the quarter to ₹124 crore against ₹133 crore in the year-ago period. Titan said recovery in the other segments of the Company comprising Indian dress wear and accessories was still slow and these divisions recorded an income of ₹36 crore compared to ₹50 crore in the previous year, a decline of 28%.
C K Venkataraman, Managing Director of Titan Company said: "The recovery witnessed has been significantly better than what we had hoped just a few months back... We believe the focus on productivity and cash generation will help improve the company's margins in the future."
During the quarter, Titan also made a provision for ₹137 crore relating to impairment in the investments in Favre Leuba AG (FLAG), a wholly owned subsidiary, consequent to the decision of the company to significantly scale down the operations outside India.
Shares of Titan ended at ₹1,563.30 apiece, up 0.21% from the previous close on the BSE.
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