Titan reports 28.6 percent net profit growth in Q2

Titan has announced a growth of 28.6 percent in its net profit in the second quarter over last year. The income from operations in the second quarter, July to September 2014, was Rs 3,564.67 crores, a growth of 55.7 percent over last year’s income of Rs 2,290.02 crores during the same period.

The jewellery business experienced extraordinary growth due to redemption of Golden Harvest accounts of existing customers which had to be closed due to regulatory changes. The income for April to September 2014, the first half of this financial year, stands at Rs 6,418.33 crores, registering a healthy growth of 19.3 percent over last year. The net profit for Q2 was Rs 239.98 crores, up from Rs186.65 crores last year. The net profit for the six months ended September 2014 is Rs 417.25 crores, up 13 percent over last year. The profit before tax is Rs 320.11 crores for Q2 and Rs 560.58 crores for the first half.

The watches division has also done well in the quarter backed by successful activations for both Titan and Fastrack brands. A new brand campaign on ‘gifting of time’ went on air for Titan watches. The income for watches was Rs 527.46 crores as compared to Rs 439.07 crores last year. The jewellery business recorded an income growth of 64.8 percent in Q2 over last year. It had an income of Rs 2, 929.38 crores this year in Q2 as compared to Rs 1,777.39 crores last year.

Other businesses of the company comprising Precision Engineering, a B2B business, the eyewear business and accessories grew by 20.9 percent. The combined income of these businesses was Rs 137.90 crores in Q2. The Titan Company retail chain had 1,136 stores as on September 30, 2014.