Titan Shares Jumps to ₹3,227 Following Strong Q4 Update

On April 8th, 2025, Titan Company's shares experienced a significant surge, reaching a day's high of ₹ 3,227.25. This rally occurred after the release of a positive business update for the fourth quarter of the fiscal year 2025 (Q4FY25). The company's strong performance across its key business segments fuelled this positive market reaction, helping the stock rebound from a recent 52-week low of ₹2,947.55.

Revenue Growth of 25% Driven by Key Segments

Titan reported an impressive 25 percent year-on-year (YoY) growth in revenue for Q4FY25. This substantial increase was supported by healthy momentum across its diverse portfolio, including jewellery, watches, eyewear, and emerging businesses. The jewellery segment, a core part of Titan's operations, saw a growth of 24 percent. The watches and wearables division also demonstrated strong performance with a 20 percent YoY increase, while the Eyecare segment delivered an 18 percent YoY growth.

Jewellery Segment's 24% Growth Despite Gold Price Surge

The 24 percent growth in the jewellery division was significantly influenced by a sharp rise in gold prices. This price surge led to a substantial increase in the sales of plain gold jewellery by 27 percent and gold coins by a robust 65 percent. This indicates a heightened consumer interest in both ornamental and store-of-value purchases. However, the higher gold prices impacted affordability in lower ticket sizes, resulting in only single-digit growth in the number of buyers. In contrast, the premium end of the market showed resilience with double-digit growth in average ticket sizes, and the solitaire segment experienced a meaningful turnaround. Studded jewellery recorded low double-digit growth.

Watches and Eyewear Achieve 20% and 18% Growth Respectively

The watches and wearables division achieved a notable 20 percent YoY increase in Q4FY25, driven by strong contributions from key brands such as Titan, Fastrack, and Sonata. Analog watches were the primary growth driver, supported by solid consumer demand across various price points. The Eyecare segment also performed strongly, delivering an 18 percent YoY growth. This growth was attributed to increased demand for international eyewear brands and a growing online presence, with Titan's multi-brand approach and e-commerce initiatives gaining traction among value-seeking consumers.

Emerging Businesses Show Mixed Performance with Fragrances Up by 26%

Titan's emerging businesses showed varied results in Q4FY25. The fragrance portfolio registered a healthy 26 percent YoY growth, attributed to brand traction and new store formats, including the inauguration of the first experiential ‘SKINN’ store in Mumbai. The premium handbag brand ‘IRTH’ also expanded with four new store openings. However, the ethnic wear brand Taneira experienced a 4 percent decline in sales and the closure of one store, indicating operational challenges and sluggish demand.

Caratlane Records 22% Growth and Adds 17 New Stores

The digital-first jewellery brand Caratlane posted a strong 22 percent YoY growth, benefiting from increased consumer interest in gold and studded jewellery. Caratlane also saw mid-single-digit growth in the number of buyers and 11 percent growth. The brand continued to expand its domestic presence by adding 17 net new stores during the quarter.

Retail Network Expansion to 3,312 Stores with Addition of 72 Outlets

Titan continued to expand its retail footprint, adding a net of 72 stores during Q4FY25. This expansion brought the company's total consolidated retail network to 3,312 stores.

Stock Performance 

Despite the recent jump, Titan's stock remains over 16 percent below its September 2024 peak of ₹ 3,866.15. Over the past year, the stock has declined by 19.5 percent. In April so far, the stock has gained 3.6 percent, following a 0.5 percent fall in March and an 11.8 percent decline in February. The stock had seen a rise of over 7 percent in January 2025.

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