AgenciesTata Group firm Titan Company is likely to post a healthy double-digit rise in the December quarter (Q3FY22) net profit on the back of robust demand for consumer businesses like jewellery, watches and eyewear supported by wedding and festive season along with stable gold prices, said analysts.
The firm, in its quarterly business update last month, had said it has witnessed "strong demand" across its consumer businesses and clocked 36 per cent growth over the festive quarter last year.
The company is slated to post its earnings on Thursday, February 3.
Recently, seasoned investor Rakesh Jhunjhunwala increased his stake in Titan Company in the December quarter to 4.02 per cent from 3.80 earlier. Together with his wife, Rekha Jhunjhunwala, he held a 5.1 per cent stake in the December quarter compared with 4.9 per cent in the September quarter. At Wednesday's close, their stake is worth Rs 11,150 crore.
Brokerage Sharekhan said profit after tax (PAT) is likely to be registered at Rs 870 crore in Q3FY22, up 64.1 per cent year-on-year (YoY).
It said Titan is likely to report robust revenue growth of 36 per cent YoY and 60 per cent as compared to pre-Covid level at Rs 10,394 crore for the quarter under review. It further sees improvement in operating margin by 150 bps YoY to 12.6 per cent due to better operational efficiencies.
Emkay Global, meanwhile, sees a 30 per cent YoY growth is revenue at Rs 9,504.5 crore to be led by 26 per cent CAGR in jewellery and 6-9 per cent CAGR in watches and eyewear.
"The profit for the quarter is likely to rise 55 per cent YoY to Rs 859 crore. We expect a 150 bps improvement in EBITDA margins, led by strong operating leverage and a slight improvement in the studded mix," it said.
Another brokerage Kotak Securities eyes Titan's Q3 profit growth of 40 per cent to be at Rs 777.6 crore and revenue growth of 19 per cent YoY to Rs 8,665 crore.
"We model a 25 per cent YoY growth in jewellery segment revenues (+20 per cent 2-year CAGR). We expect volume growth to be marginally higher than value growth as gold prices are down on a YoY basis. We also expect 25 per cent YoY growth in watches and 30 per cent YoY growth in the eyewear segment," it said.
The firm, in its quarterly business update last month, had said it has witnessed "strong demand" across its consumer businesses and clocked 36 per cent growth over the festive quarter last year.
The company is slated to post its earnings on Thursday, February 3.
Recently, seasoned investor Rakesh Jhunjhunwala increased his stake in Titan Company in the December quarter to 4.02 per cent from 3.80 earlier. Together with his wife, Rekha Jhunjhunwala, he held a 5.1 per cent stake in the December quarter compared with 4.9 per cent in the September quarter. At Wednesday's close, their stake is worth Rs 11,150 crore.
Brokerage Sharekhan said profit after tax (PAT) is likely to be registered at Rs 870 crore in Q3FY22, up 64.1 per cent year-on-year (YoY).
It said Titan is likely to report robust revenue growth of 36 per cent YoY and 60 per cent as compared to pre-Covid level at Rs 10,394 crore for the quarter under review. It further sees improvement in operating margin by 150 bps YoY to 12.6 per cent due to better operational efficiencies.
Emkay Global, meanwhile, sees a 30 per cent YoY growth is revenue at Rs 9,504.5 crore to be led by 26 per cent CAGR in jewellery and 6-9 per cent CAGR in watches and eyewear.
"The profit for the quarter is likely to rise 55 per cent YoY to Rs 859 crore. We expect a 150 bps improvement in EBITDA margins, led by strong operating leverage and a slight improvement in the studded mix," it said.
Another brokerage Kotak Securities eyes Titan's Q3 profit growth of 40 per cent to be at Rs 777.6 crore and revenue growth of 19 per cent YoY to Rs 8,665 crore.
"We model a 25 per cent YoY growth in jewellery segment revenues (+20 per cent 2-year CAGR). We expect volume growth to be marginally higher than value growth as gold prices are down on a YoY basis. We also expect 25 per cent YoY growth in watches and 30 per cent YoY growth in the eyewear segment," it said.
Pick the best companies to invest
BECOME AN ETPRIME MEMBERRead More News on
(What's moving Sensex and Nifty Track latest market news, stock tips and expert advice on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds.)
...moreDownload The Economic Times News App to get Daily Market Updates & Live Business News.
Pick the best stocks for yourself
Powered by