Titan Q2 net up 3.59 per cent at Rs 186 crore

Titan Company Ltd on Thursday reported a 3.59 per cent increase in standalone net profit at Rs 186.65 crore for the quarter ended September 30, 2013-14.

The company had reported a net profit of Rs 180.17 crore for the corresponding quarter of the previous fiscal year (FY13), it said.

Net sales during the quarter ended September, 2013 were at Rs 2,290.02 crore - an increase of 1.40 per cent as against Rs 2,258.29 crore in the year-ago period.

"This was a challenging quarter on account of weak consumer sentiments, particularly for discretionary purchase categories like watches and jewellery. The continued inflation and the weak rupee are affecting demand as well as costs and interest rates that continue to be at high levels," Titan Industries managing director Bhaskar Bhat said.

Revenue from watches stood at Rs 442.36 crore, down 6.23 per cent, although revenues from jewellery increased by 4.3 per cent at Rs 1,798.07 crore.

"The watch and eyewear businesses of the company, with a decent import content, continued to be affected by input cost increases and adverse currency movements." the company noted.

Overall expenses of the company were at Rs 2,082.14 crore during the quarter, up 2.08 per cent from Rs 2,039.6 crore in the year-ago period.

"Given the good monsoon across the country and a likely change in consumer sentiment driven by stock market movement, we are hopeful of a good second half," Mr Bhat further said.

Shares in Titan Industries, on Thursday, ended at Rs 266.30 apiece on the BSE, up 4.15 per cent from the previous close.