Titan reports Rs 165.57 cr PAT in Q3

Titan Company, formerly known as Titan Industries, has reported a 25.11 percent increase

in ad spends to Rs 118.04 crores in third quarter as compared to the Rs 94.35 crores during the previous quarter. This has resulted in a 15.74 percent jump in operating income to Rs 2,650.46 crores as compared to the Rs 2,290.02 crores in Q2.

Titan has three revenue segments – watches with five major brands – Titan, Xylus, Nebula, Sonata and Fastrack and jewellery, which contributes the largest share in terms of revenue and profits) with Tanishq, Zoya, Gold Plus from Tata, Mia and Fq teen diamonds; and eyewear under the Titan EYE+ brand, apparel and eyewear also under Fastrack brand and precision engineering among others. However, the jewellery business had to face the brunt of low consumer buying along with average gold price during the quarter sliding down 10 percent than previous year level.

During the nine month period that ended December 31, 2013, Titan’s ad spend was up by 2.13 percent at Rs 317.06 crores as compared to the Rs 310.46 crores during the corresponding period of last year. Operating revenue for the current nine month period was 8.26 percent higher at Rs 8028.77 crores as compared to the Rs 7415.92 crores during the corresponding period of last year. Titan had spent Rs 377.09 crores during FY2013.

However, the company’s Q3-2014 PAT for stood at Rs 165.57 crores, which is 11.29 percent lower than the Rs 186.65 crores in Q2-2014 and lower by 18.81 percent than the Rs 203.92 crores during the corresponding quarter of last year.