Titan Company

“Therefore, the context of what Ashok said, our guidance on margins will not change based on our assessment of whether competitive intensity will go up or down.”

“All in all, it has been a very good quarter, and we believe it should be a very good year too, if things continue the way they are.”

“we have been upgrading a lot of our stores, making them larger and far more attractive to expose all the facets of the brand.”

“Second is, of course, the network expansion, adding more stores, both in same cities as well as adding cities to the network across all our brands.”

“during the 24 days of festive season, we, barring for one week, I think we have seen a very healthy growth in terms of both revenue as well as buyer growth.”

“this time around, in October, we had pretty good growth, better than Q2. The momentum looks good, and particularly in the price points of ₹25,000 to ₹1 lakh, which is an area that we have been gaining share, we have done really well.”

“our number one priority is to drive buyer growth, and everything we are doing is to drive buyer growth.”

“Heading forward, it is possible that we may not get the cushion of ticket size growth and gold rate growth. So therefore, buyer growth becomes the first and most important part of it.”

“Watch division, EyeCare division, our newer businesses, fragrances, fashion accessories, even Taneira has started showing some promising green shoots.”

“Pretty much from the day of Vijayadashami for the next few days, there was some softness owing to gold rate volatility, which kept customers away.”

“The first phase of Navratri, we saw good consumers, positive consumer sentiments and good traffic to our stores.”

“At an overall level from the start of the festive season till today, gold is kind of softer, which is bringing back customers in, and we hope to see a pretty strong ending to the season over the next few days till November 10.”

“So we have seen three quarters of good studded growth, which continues during the festive as well.”

“while there is the softness on coins and investment buying, which began in quarter two, which we saw towards August and September. We see that sustaining during festive as well.”

“Normalized margin, once you do adjustment for this, on Titan Jewellery business would be 11.1%.”

“Since increase in customs duty, the domestic market has been operating at a discount compared to international. I am talking about gold prices. That leads to the gold price realization pressure.”

“As far as CaratLane is concerned, they have making a conscious choice to invest on brand building and some of the talent-related investments. And of course, the promotional offers, etcetera, were at elevated level in this quarter.”

“This quarter, we've had a really good story on Edge, driven partly by the Made in India: A Titan Story piece, as well as the launch of a good set of products that took price points up and therefore margins up.”

“But even across the other categories, like I mentioned, the ₹25,000 and above price point sales was also really positive. So that is largely the reason for the better margin performance, and we certainly hope it will continue.”

“This is a replenishment of some of the existing borrowing. It is not additional borrowing.”

“we believe as soon as the geopolitical environment and the conflict situation improves, all the investments are in place to ensure that that long-term opportunity gets realized at the Titan group level.”

“But at this point of time, we don't see the long-term opportunity of Damas has diminished in any manner, and that is why there is no reason to impair that.”

“this quarter also saw a good amount of customs duty gain, which is estimated at ₹490 crores for quarter two in Titan Jewellery division and ₹46 crores in CaratLane.”

“a large part of MTM gain of quarter one reversed this quarter, which would impact jewellery margin by about 60 basis points. And if you normalize for that, then TMZ, which is Titan Jewellery business margin, would be 11.7%.”

“when we looked at our liability at the end of four years, which was accounted for in our books of accounts at ₹1,668 crores, the reassessed liability is less by ₹671 crores.”

“No, this is basically accounting requirement, and of course, accounting requirement requires us to have a view on a probable performance for the next.”

“Please note that this assessment will happen at the end of every quarter, and depending on the recovery trajectory of the Damas, there could be pluses and minuses on account of this.”

“But the customs duty gain aspect is there since May, where many people must be sitting on gain, and we see aggressive promotions, discounts happening.”

“To my mind, another two, three months, you can see that behaviour that they're still sitting on those gains. But you are right. If the prices keep softening, our position would improve competitively vis-à-vis those small players.”

“since customs duty increase, Indian domestic gold price market has been at discount, and that gives a hint that there are channels which are active through which also gold is flowing in into the country.”

“We do see pressure tactically. We respond to also that in different catchment, the way if our competitive jewellers are taking a particular posture.”

“we have been working on 18-carat gold for core gold jewellery, both in wedding and daily wears, and also 14-carat in Tanishq studded jewellery and up to nine-carat in Mia.”

“So, it is a strategic tool which we think will give us a greater customer preference, and therefore not something to kind of chop and change based on movements in gold rate. It is a long-term strategic decision we have taken, and we would like to stick with it.”

“One is the whole gold exchange program, which is a huge lever, and as you are aware, we have been at it for the last one year, and that is something that is giving us good results.”