BRANDED JEWELLERY WAS a novelty in 1994, when Titan launched the Tanishq jewellery range, nearly a decade after captivating India's market with quartz analogue wristwatches and unwinding the monopoly of 'Timekeeper to the Nation' HMT. Today, 30 years later, Titan's branded jewellery division fetches nearly 90% of its revenue.
Titan's gold and jewellery division is growing at a pace that most of its peers in the consumer discretionary market would love to replicate. Although the Covid-19 pandemic's lockdowns and supply disruptions in 2020 hit demand for consumer discretionary items, Titan reported high double-digit growth in its topline. Between FY21 and FY24, Titan's revenue grew at a compound annual growth rate of 33.14%, from ₹21,644 crore to ₹51,084 crore. In the same period, its profit after tax grew at a CAGR of 53.11%, from ₹974 crore to ₹3,496 crore.
At the heart of this growth story was gold, or its jewellery division, to be precise. Net jewellery sales-revenue collected at the counters minus GST, other taxes and dealer commissions-grew at a 26% CAGR between FY20 and FY24, from ₹16,738 crore to ₹42,172 crore. (Titan has not given up on watches, which have been looking up since the Covid-19 lockdown. More on it later.)
Titan's growth story has made it the crown jewel in the diversified Tata Group, but it is not sitting pretty. The key business divisions have been given ambitious targets. One is to double the overall retail value of its products or uniform consumer price (UCP) to ₹1 lakh crore by FY27.
Titan reckons it can do this by doubling the UCP of its jewellery division (which was ₹45,000 crore in FY24), increasing the UCP of its watches & wearables division by ₹4,000 crore (₹6,000 crore last year), that of Taneira branded sarees to ₹1,000 crore (₹250 crore) and Titan Eye+ (eyecare) to ₹2,000 crore (₹1,000 crore in 2024).
This story is from the 1st September 2024 edition of Business Today India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the 1st September 2024 edition of Business Today India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
"Inaction is worse than mistakes"
What was the problem you were grappling with?
TEEING OFF WITH TITANS
BUSINESS TODAY GOLF RESUMES ITS STORIED JOURNEY WITH THE 2024-25 SEASON OPENER IN DELHI-NCR. THERE ARE SIX MORE CITIES TO COME
AI FOOT FORWARD
THE WHO'S WHO OF THE AI WORLD GATHERED AT THE TAJ MAHAL PALACE IN MUMBAI TO DELIBERATE THE TRANSFORMATIVE IMPACT OF AI ON INNOVATION, INDUSTRIES, AND EVERYDAY LIFE.
Decolonising the Walls
ART START-UP MAAZI MERCHANT IS ON A MISSION TO BRING INDIA'S FORGOTTEN ART BACK HOME
"I'm bringing Kotak under one narrative, one strategy, one umbrella”
Ashok Vaswani is a global banker who spent most of his career overseas at institutions like Citi Group and Barclays, among others.
CHOOSING THE CHAMPIONS
The insights and methodology behind the BT-KPMG India's Best Banks and NBFCs Survey 2023-24.
'INDIA IS AT AN EXTREMELY SWEET SPOT'
The jury members of the BT-KPMG Survey of India's Best Banks and NBFCs discuss developments in the banking sector and more
FROM CRISIS TO TRIUMPH
Dinesh Kumar Khara stewarded SBI through multiple challenges during his tenure, while ensuring that profits tripled, productivity soared, and the bank consolidated its global standing
AT A CROSSROADS
BANKS ARE FACING CHALLENGES ON BOTH SIDES OF THE BALANCE SHEET-ASSETS AS WELL AS LIABILITIES-WHICH ARE PUTTING PRESSURE ON MARGINS.
EXPANSIVE VISION
Bajaj Finance, an outlier in terms of digitisation, faces stiff competition. But it continues to expand its reach
