Revenue and profit growth led most of Titan's jewelry, which was mainly sold under the name of Tanishq.
Bungalow: Titan Co Ltd watches and accessories reported an increase of 8.34% in consolidated earnings, while total revenue rose significantly in the July-September period, leading to increased sales across all key product segments.
However, the quarter-on-quarter growth rate of Tata's net profit was down 5% year-on-year. Titan listed two reasons for this sluggish rate of growth – a 29 crore provision for investments made as part of Treasury's interbank deposits to the IL & FS group and some franchisee compensation due to acquisitions in jewelery.
In June, IL & FS Transportation Networks Ltd (ITNL), Infrastructure Leasing and Financial Services Ltd (IL & FS), delayed the repayment of interbank deposits by Small Industries Development Bank of India (Sidbi) CARE on the ITNL securities. The IL & FS group and units were subsequently defaulted for several other payment obligations.
Consolidated net earnings at Titan were ₹ 301,11 crore in the second quarter versus ₹ 277,93 crore last year. Total income amounted to £ 4,595.13 crore in the quarter from £ 3,603.01 crore in the same quarter a year ago.
Revenue and profit growth led most of Titan's jewelry, which was mainly sold under the name of Tanishq. Revenue from the jewelery segment increased by 29.02% to ₹ 3,645.07 crore on an annual basis.
"The company has done well in all its businesses in the second quarter, offering a 26% increase over last year." The jewelery business recorded this quarter after a soft first quarter and the watch business had one of its best homes with an exceptionally sound growth in the bottom line for the first half.The glassworks business has taken a long time with our investment in brand building that shows results now, "said Bhatas Bhaskar Bhat's CEO in a statement filed with BSE on Friday.