Titan’s jewelery business showed strong strength in the Corona era, but the business of watches and eyewear was a bit weak.
Tata group company Titan, which sells jewelery, watches and eyeglasses, saw an 11 per cent drop in net profit in the third quarter (October-December 2020-21). However, during this period, the company’s revenue has increased by 18 percent. The company’s jewelery business saw strong strength, but the watch and eyeglasses business has registered a slight decline.
Jewelery business increased but glasses and watch business declined
The company’s jewelery business has recorded a spectacular growth in the third quarter. The company’s jewelery sales increased to Rs 6589 crore as compared to Rs 5409 crore in the third quarter of last year.
However, the sales of watches in the third quarter declined from Rs 625 crore in the third quarter of last year to Rs 550 crore. Sales of iWare have come down and it has come down from 133 crores to 124 crores rupees.
In some brokerage houses, recommending investment in Titan Company, the target is fixed at Rs 1800. Some brokerages say that the company has recovered from the impact of Covid 19 and the business is now on track. The jewelery business has gained strength.
Good investment potential in the company
Some brokerages believe that the company’s balance sheet is good. For the past few years, the company has also increased aggressive marketing and scope of its product. Even in small cities, the company has good plans for expansion. Analysts say that there is good growth ahead in every segment of the company. Further growth is expected to continue due to the company’s brand strength and franchise-based business model. So one can invest in Titan shares.
Nidhi Malviya is fun loving girl. She writes at NoobFeeds about various topics related to Finance, Technology, Business etc.