Titan Company Limited · NSE:TITAN
Titan — Q1 FY2025 Earnings Presentation
60 slides from Titan's earnings presentation, Aug 2, 2024
Slide 1: Exchange filing cover letter
SEC 79 / 2024-25 2nd August 2024 The General Manager, DCS – CRD The General Manager, DCS – CRD BSE Limited National Stock Exchange of India Ltd Corporate Relationship Department Exchange Plaza, 1st Floor, New Trading Ring Bandra-Kurla Complex, Rotunda Building, P J Towers Bandra (East), Dalal Street
Slide 2: Earnings Presentation for the quarter ended June 30, 2024
Titan Company Limited Earnings Presentation for the quarter ended June 30, 2024 Sensitivity: Internal
Slide 3: Disclaimer
Disclaimer This document, prepared by Titan Company Limited (the “Company”/”we”/”our”/”Titan”), is solely for information purposes and does not constitute any offer, invitation, recommendation, invitation to purchase or subscribe to any of Titan’s securities, and shall not form the basis of or be re
Slide 4: About the Company
• The Titan Story • Our Journey So Far About the • Our Business Segments Company • Titan Brands • Titan Company Structure Executive Summary Business Performance Financial Performance Other Updates Sensitivity: Internal
Slide 5: India's most prestigious lifestyle products company
India’s Our Vision most We create elevating experiences for the people we touch and significantly impact the world we work in prestigious lifestyle products Our Mission company We will do this through a pioneering spirit and a caring, value-driven culture that fosters innovation, drives performance,
Slide 6: Our Journey So Far
Our Journey So Far Launch of Company incorporated, Launch of Demerged PED to JV between the Tata group and Tamilnadu State-of-the-art Industrial Development Jewellery making and Precision Engineering and merged Gold Plus Corporation facility inaugrated (PED) with Tanishq 1984 1994 Dissolution of 200
Slide 7: Our Business Segments
Our Business Segments Jewellery Watches & Wearables EyeCare Indian Dress Wear Fragrances Fashion Accessories 6 Sensitivity: Internal
Slide 8: Titan Businesses (1/2)
Titan Businesses (1/2) Jewellery: India’s Leading Organised Jewellery Retailer Manufacturing facilities in Hosur, Pantnagar and ~8% 15%+ Midnapore; India Market FY24 Digitally Product Development share1 influenced sales Centre in Mumbai Watches & Wearables: India’s Leading Watches Brand 2 Manufactur
Slide 9: Titan Businesses (2/2)
Titan Businesses (2/2) Indian Dress Wear: Finest range of pure handcrafted weaves from across the country Weavershala is an initiative by Taneira towards supporting 100+ 75+ weavers with technical expertise Exclusive Brand and improving their working Clusters2 Outlets conditions Fragrances: India’s
Slide 10: Titan Brands - Segmentation Landscape
Titan Brands - Segmentation Landscape Watches & Indian Dress Fashion Segments Jewellery EyeCare Fragrances Wearables Wear Accessories Luxury Premium Mid-Market Mass Market 9 Sensitivity: Internal
Slide 11: Titan Brands - Size of Business
Titan Brands - Size of Business Watches & Indian Dress Fashion Gross UCP Jewellery EyeCare Fragrances Wearables Wear Accessories ₹50,000 cr ₹5,000 cr ₹1,000 cr ₹500 cr ₹100 cr < ₹100 cr Note: 1. FY24 Gross UCP (Uniform Consumer Price) is used for the above illustration 2. The position of the brands
Slide 12: Titan Company Structure
Titan Company Structure Titan Company Limited 100% 99.991% 100% 100% 100% Titan CaratLane Titan Holdings Titan Engineering & TCL North Trading Private International Commodity Automation America Inc Limited FZCO, Dubai Trading Limited Limited (TEAL) Minority stake 100% 100% Great CueZen TEAL USA Inc.
Slide 13: About the Company
About the Company • Titan at a Glance Executive • Management Commentary Summary • Q1FY25 Standalone Highlights • Q1FY25 Consolidated Highlights Business Performance Financial Performance Other Updates Sensitivity: Internal
Slide 14: Titan at a Glance
Titan at a Glance ₹487 bn ₹3,024 bn 3,096 4.29 mn TTM Total Income (1) Market Capitalization (2) Stores Retail Area sq. ft. ~11.9k 11 36 mn+ 430 Manufacturing and Employees on roll Assembly Facilities Encircle Members Town Presence Note: 1. Total Income excludes bullion and digi-gold sales 2. BSE Ma
Slide 15: Management Commentary
Management Commentary “In the recently presented Union Budget, the custom duty on gold imports in the country has been reduced from 15% to 6%. This development has long term positive implications for the Jewellery industry. While this change is likely to entail a short-term impact in the form of val
Slide 16: Q1FY25: Standalone Highlights
Q1FY25: Standalone Highlights Jewellery Watches & Wearables EyeCare Emerging Businesses Titan Company 89 88 8 9 2 2 1 1 +9.3% +8.9% 11,263 10,306 Total Income 9,879 +14.7% 9,070 +3.0% 1,021 890 +5.3% 203 209 76 80 Q1FY24 Q1FY25 Q1FY24 Q1FY25 Q1FY24 Q1FY25 Q1FY24 Q1FY25 Q1FY24 Q1FY25 91 92 9 10 3 2 E
Slide 17: Q1FY25: Consolidated Highlights
Q1FY25: Consolidated Highlights Jewellery Watches & Wearables EyeCare Other Businesses Titan Company 89 88 8 8 2 2 1 2 +11.2% +10.0% 12,308 11,069 Total Income 10,730 +102.2% 9,754 +12.0% 1,023 +3.4% 277 913 203 210 137 Q1FY24 Q1FY25 Q1FY24 Q1FY25 Q1FY24 Q1FY25 Q1FY24 Q1FY25 Q1FY24 Q1FY25 92 92 9 9
Slide 18: Business Performance
About the Company Executive Summary • Jewellery • Watches and Wearables Business • EyeCare Performance • Emerging Business • International Business • TEAL Financial Performance Other Updates Sensitivity: Internal
Slide 19: Jewellery (Domestic): Quarterly Performance
Jewellery (Domestic): Quarterly Performance • Total Income grew ~8% YoY led by buyer growth of ~2% YoY and average spends per Particulars (₹ cr) Q1FY24 Q1FY25 YoY% buyer growing by ~6% YoY respectively. New buyer contribution for the quarter stood at Domestic 8,933 9,619 7.7% 45% International (Prim
Slide 20: CaratLane: Quarterly Performance
CaratLane: Quarterly Performance • Total Income grew by 17.9% YoY to ₹754 cr Particulars (₹ cr) Q1FY24 Q1FY25 YoY% Total Income 639 754 17.9% • Revenue from the Studded category grew ~23% YoY. Its contribution improved by EBIT 35 38 8.5% ~3pp to ~78% for the quarter EBIT Margin 5.5% 5.1% (44) bps •
Slide 21: Jewellery: Retail Network
Jewellery: Retail Network Brand Particulars Mar'24 QTD Add. Jun'24 Stores - Domestic (#) 464 11 475 Stores - International (#) 15 1 16 Area sq. ft. (mn) 2.08 0.09 2.16 Town Presence (#) 279 7 286 Stores - Domestic (#) 177 19 196 Stores - International (#) 1 - 1 Area sq. ft. (k) 133 22 155 Town Prese
Slide 22: Business Performance
About the Company Executive Summary • Jewellery • Watches and Wearables Business • EyeCare Performance • Emerging Businesses • International Business • TEAL Financial Performance Other Updates Sensitivity: Internal
Slide 23: Watches & Wearables (Domestic): Quarterly Performance
Watches & Wearables (Domestic): Quarterly Performance • Domestic business grew 13.8% YoY primarily led by analog segment growing ~17% YoY Particulars (₹ cr) Q1FY24 Q1FY25 YoY% Domestic 877 998 13.8% • Within analog, Fastrack grew 25% YoY (aided by ~16% volume growth). Titan brand grew ~16% YoY, wher
Slide 24: Watches & Wearables: Retail Network
Watches & Wearables: Retail Network Brand Particulars Mar'24 QTD Add. Jun'24 Stores (#) 665 5 670 Area sq. ft. (k) 467 5 472 Town Presence (#) 328 1 329 Stores (#) 218 7 225 Area sq. ft. (k) 105 3 107 Town Presence (#) 100 3 103 Stores (#) 237 5 242 Area sq. ft. (k) 175 4 178 Town Presence (#) 88 3
Slide 25: Business Performance
About the Company Executive Summary • Jewellery • Watches and Wearables Business • EyeCare Performance • Emerging Business • International Business • TEAL Financial Performance Other Updates Sensitivity: Internal
Slide 26: EyeCare (Domestic): Quarterly Performance
EyeCare (Domestic): Quarterly Performance • Divisional performance of 2.8% YoY growth was led by corresponding 10% growth in Particulars (₹ cr) Q1FY24 Q1FY25 YoY% volumes and a strong retail uptick during the quarter Domestic 203 208 2.8% International (Primary) 0 1 79.9% • Value and 'Affordable Fas
Slide 27: EyeCare: Retail Network
EyeCare: Retail Network Brand Particulars Mar'24 QTD Add. Jun'24 Stores - Domestic (#) 898 3 901 Stores - International (#) 4 - 4 Area sq. ft. (k) 573 3 575 Town Presence (#) 353 (2) 351 Stores (#) 3 (1) 2 Area sq. ft. (k) 2.5 (1.4) 1.1 Town Presence (#) 3 (1) 2 Stores (#) - 1 1 Area sq. ft. (k) - 0
Slide 28: Business Performance
About the Company Executive Summary • Jewellery • Watches and Wearables Business • EyeCare Performance • Emerging Business • International Business • TEAL Financial Performance Other Updates Sensitivity: Internal
Slide 29: Emerging Businesses: Quarterly Performance
Emerging Businesses: Quarterly Performance • Taneira’s ~4% YoY growth was mainly driven by growth from new stores. The brand added Particulars (₹ cr) Q1FY24 Q1FY25 YoY% 4 new stores in the quarter expanding its presence to 77 locations across 39 cities Total Income 76 80 5.3% • SKINN fragrances grew
Slide 30: Taneira: Retail Network
Taneira: Retail Network Brand Particulars Mar'24 QTD Add. Jun'24 Stores (#) 73 4 77 Area sq. ft. (k) 217 9 227 Town Presence (#) 37 2 39 Salt Lake, Kolkata Jodhpur 29 Sensitivity: Internal
Slide 31: Business Performance
About the Company Executive Summary • Jewellery • Watches and Wearables Business • EyeCare Performance • Emerging Business • International Business • TEAL Financial Performance Other Updates Sensitivity: Internal
Slide 32: International Businesses (Consolidated): Quarterly Performance
International Businesses (Consolidated): Quarterly Performance Jewellery Total Income (₹ cr) Q1FY24 Q1FY25 YoY% • International Jewellery business recorded a growth of 92% YoY to ₹350 cr. In the Jewellery 182 350 92.0% preceding 12 months, 8 new Tanishq stores have opened in various geographies. Oth
Slide 33: Business Performance
About the Company Executive Summary • Jewellery • Watches and Wearables Business • EyeCare Performance • Emerging Business • International Business • TEAL Financial Performance Other Updates Sensitivity: Internal
Slide 34: TEAL: Quarterly Performance
TEAL: Quarterly Performance • Total Income grew 226% YoY to ₹197 cr Particulars (₹ cr) Q1FY24 Q1FY25 YoY% Total Income 61 197 226% • Within Divisions, Automation Solutions (AS) Revenue grew ~12 times YoY (due to low Revenue base of Q1FY24). The Manufacturing Services* (MS) Revenue grew EBIT (11) 11
Slide 35: Financial Performance
About the Company Executive Summary Business Performance • Statement of Profit and Loss Financial • Segment Performance Performance • Capital Employed • Financial Trends Other Updates Sensitivity: Internal
Slide 36: Statement of Profit and Loss: Standalone
Statement of Profit and Loss: Standalone Particulars (₹ crores) Q1FY24 Q1FY25 YoY% Operating Revenue 10,207 11,145 9.2% Total Income 10,306 11,263 9.3% EBITDA 1,202 1,329 10.6% % 11.7% 11.8% 14 bps EBIT 1,103 1,203 9.1% % 10.7% 10.7% (2) bps PAT 777 770 (0.9%) % 7.5% 6.8% (71) bps Note: 1. Operating
Slide 37: Statement of Profit and Loss: Consolidated
Statement of Profit and Loss: Consolidated Particulars (₹ crores) Q1FY24 Q1FY25 YoY% Operating Revenue 10,955 12,188 11.3% Total Income 11,069 12,308 11.2% EBITDA 1,239 1,367 10.3% % 11.2% 11.1% (9) bps EBIT 1,111 1,203 8.3% % 10.0% 9.8% (26) bps PAT 756 715 (5.5%) % 6.8% 5.8% (102) bps Note: 1. Ope
Slide 38: Segment Performance
Segment Performance Total Income (₹ crores) EBIT (₹ crores) EBIT Margin (%) Particulars Q1FY24 Q1FY25 YoY% Q1FY24 Q1FY25 YoY% Q1FY24 Q1FY25 YoY Jewellery 9,070 9,879 8.9% 999 1,103 10.4% 11.0% 11.2% 15 bps Watches & Wearables 890 1,021 14.7% 102 115 12.7% 11.5% 11.3% (20) bps EyeCare 203 209 3.0% 35
Slide 39: Capital Employed: Standalone
Capital Employed: Standalone Jewellery Watches & Wearables EyeCare Emerging Businesses Titan Company 35,829 Assets 19,448 32,862 18,327 5,952 15,237 7,632 4,027 14,457 Equity 3,586 649 650 462 516 2,876 2,605 Liabilities 13,496 248 10,695 261 245 259 18,405 20,592 981 1,151 388 402 217 257 Mar'24 Ju
Slide 40: Capital Employed: Consolidated
Capital Employed: Consolidated Jewellery Watches & Wearables EyeCare Other Businesses Titan Company Assets 34,185 22,658 31,550 21,632 10,003 6,735 4,087 9,393 Equity 8,583 3,651 1,488 1,412 657 660 2,925 674 693 2,656 Liabilities 15,923 22,157 24,182 263 252 13,049 394 408 738 795 995 1,162 Mar'24
Slide 41: Consolidated: Quarterly Performance Trends
Consolidated: Quarterly Performance Trends Total Income and YoY Growth 37% 26% 21% 24% 24% 21% 16% 19% 10% 12% 13% 14,110 11% 2.1% -0.4% 12,308 -3.9% -10% 11,383 11,069 10,835 11,440 10,040 9,419 9,131 8,742 7,319 7,526 7,356 7,497 FY24: 47,454; 23% 6,550 5,208 4,693 4,753 4,210 FY23: 38,675; 38% 3,
Slide 42: Consolidated: Annual Performance Trends
Consolidated: Annual Performance Trends Total Income and YoY Growth PBT and PBT Margin PAT and PAT Margin 47,454 4,623 4,447 3,496 3,274 38,675 11.5% 10.6% 8.5% 9.9% 7.9% 7.4% 9.7% 7.0% 27,988 2,958 2,198 21,204 20,474 37% 38% 2,102 6.5% 1,493 4.8% 23% 1,327 974 6.2% -3.4% FY20 FY21 FY22 FY23 FY24 F
Slide 43: Consolidated: Annual Segment Trends
Consolidated: Annual Segment Trends Jewellery Watches & Wearables EyeCare Total Income and YoY Growth Total Income and YoY Growth Total Income and YoY Growth 41,361 726 3,930 689 33,706 3,310 544 517 46% 43% 24,478 2,622 38% 2,317 33% 36% 38% 375 17,319 17,963 19% 1,587 7.1% 6.9% 23% 5.4% 5.7% 3.7%
Slide 44: Other Updates
About the Company Executive Summary Business Performance Financial Performance • Dividend Other • Shareholding information Updates • Awards & Recognition • ESG at Titan Sensitivity: Internal
Slide 45: Dividend
Dividend Note: 1. Amounts in Orange boxes refer to Total Dividend Payout in ₹ Crores 44 Sensitivity: Internal
Slide 46: Shareholding Information
Shareholding Information Shareholding Pattern as at March 31, 2024 Stock Information BSE Ticker 500114 NSE Ticker TITAN BSE Market Capitalization (Jun 30, 2024) ₹3 lakh crores Retail Number of Shares Outstanding 88.78 crores 19% Insurance Cos. & Banks BSE Market Capitalization (₹ Crores) 4% Mutual F
Slide 47: Awards & Recognitions
Awards & Recognitions • Economic Times ‘Business Leader of the Year 2023’ - Mr. C K Venkataraman • ET Edge-Times Now ‘Most Impactful CEO’ - Ms. Suparna Mitra • Multi Commodity Exchange of India ‘Leading Hedger – Bullion Segment of the Year 2022-23’ • ‘Forbes Top 30 Talent Leaders 2024’ – Mr. Swadesh
Slide 48: ESG at Titan - Overview
ESG at Titan - Overview Environment Sourced Water storing capacity 1.72 crore units 5,440 enhanced by of renewable energy for our manufacturing plants and trees planted 1,751 lakh offices (FY24) litres Social Empowered 16,000+ 41,000+ Gender Diversity 7 Lakh+ 21,000+ Individual lives Individuals ski
Slide 49: Sustainability at Titan – Key Initiatives – Q1FY25 (1/2)
Sustainability at Titan – Key Initiatives – Q1FY25 - (1/2) • New partners are being identified for Girl child education , Teacher training and supporting Integrated development program Girl child / in Tiruvanamalai, a city in Tamil Nadu Education • Empowered lives of 21,000+ girls through Titan Kany
Slide 50: Sustainability at Titan – Key Initiatives – Q1FY25 (2/2)
Sustainability at Titan – Key Initiatives – Q1FY25 - (2/2) • Our Happy Eyes program is doing well. We have initiated camps in Tamil Nadu and Karnataka and screened more than 67k beneficiaries Responsible • Employee engagement through volunteering continues in full swing, including special focus on s
Slide 51: Glimpses of ESG Activities Undertaken
Glimpses of ESG Activities Undertaken Rooftop Oxygen Park Happy Eyes Program Kanya Learning Centre Jewellery ISCM 50 Sensitivity: Internal
Slide 52: Annexures
Annexures Sensitivity: Internal
Slide 53: Jewellery: Quarterly Trends (Standalone)
Jewellery: Quarterly Trends (Standalone) Total Income and YoY Growth 37% 11,709 9,518 24% 23% 16% 18% 19% 19% 19% 9,879 13% 11% 11% 9,070 8,563 8,575 8,998 8.9% -1.5% -2.3% -4.2% 7,600 7,203 7,576 -5.8% 6,249 6,397 6,106 6,132 5,409 FY24: 38,352; 20% 4,047 3,754 3,528 3,446 2,467 FY23: 31,897; 37% 1
Slide 54: Jewellery: Quarterly Trends (Consolidated)
Jewellery: Quarterly Trends (Consolidated) Total Income and YoY Growth 39% 12,552 10,131 25% 22% 23% 24% 21% 10,730 14% 16% 18% 12% 13% 9,754 9,792 10.0% 9,005 9,263 0.1% -1.6% -2.8% 7,995 8,065 -5.0% 7,515 6,496 6,653 6,379 6,468 5,606 FY24: 41,361; 23% 4,164 3,899 3,650 3,592 2,626 FY23: 33,706; 3
Slide 55: Watches & Wearables: Quarterly Trends (Standalone)
Watches & Wearables: Quarterly Trends (Standalone) Total Income and YoY Growth 40% 29% 32% 20% 21% 21% 12% 15% 13% 1,092 15% 6.4% 4.9% 7.9% 1,021 -2.4% -0.3% 982 940 -12% 811 871 890 785 829 715 719 687 708 625 622 557 550 555 FY24: 3,904; 18% 400 FY23: 3,296; 43% 292 FY20: 2,615; 7.2% 75 FY22: 2,30
Slide 56: Watches & Wearables: Quarterly Trends (Consolidated)
Watches & Wearables: Quarterly Trends (Consolidated) Total Income and YoY Growth 41% 29% 32% 20% 21% 16% 22% 12% 14% 12% 6.1% 5.1% 1,092 6.3% -2.2% 0.2% 986 1,023 -12% 883 913 939 786 830 811 716 720 689 710 627 625 558 551 559 FY24: 3,930; 19% 401 FY23: 3,310; 43% 293 FY20: 2,622; 7.1% 76 FY22: 2,3
Slide 57: EyeCare: Quarterly Trends (Standalone)
EyeCare: Quarterly Trends (Standalone) Total Income and YoY Growth 28% 26% 23% 13% 18% 12% 5.1% 11% 11% 2.9% 4.9% 0.6% 3% -7.0% -4.0% -16% 203 209 183 188 167 174 165 167 166 149 154 160 156 133 124 127 134 108 FY24: 724; 5.1% 94 67 FY23: 689; 33% FY20: 544; 6.9% 30 FY22: 517; 38% FY21: 375; (31)% Q
Slide 58: Statement of Profit and Loss: Standalone
Statement of Profit and Loss: Standalone Profit and Loss statement Q1FY24 Q1FY25 YoY% (in ₹ Crores) Sale of products / services 10,103 11,105 9.9% Other operating revenue 1,042 948 (9.0%) Other Income 99 118 19.2% Total Income 11,244 12,171 8.2% COGS 8,805 9,528 8.2% Gross Contribution 2,439 2,643 8
Slide 59: Statement of Profit and Loss: Consolidated
Statement of Profit and Loss: Consolidated Profit and Loss statement Q1FY24 Q1FY25 YoY% (in ₹ Crores) Sale of products / services 10,851 12,223 12.6% Other operating revenue 1,046 1,043 0% Other Income 114 120 5.3% Total Income 12,011 13,386 11.4% COGS 9,255 10,336 11.7% Gross Contribution 2,756 3,0
Slide 60: Thank You!
Thank You! For any queries, please email to investor-relations@titan.co.in Sensitivity: Internal