Titan Shares Fall Over 4% After Q1 Profit Misses Estimates
The jewellery manufacturer's consolidated net profit fell 5% year-on-year to Rs 715 crore in the quarter ended June, missing Bloomberg's estimate of Rs 797.2 crore.
Shares of Titan Co. fell over 4% on Monday after its first-quarter profit fell, missing analysts' estimates. The jewellery manufacturer's consolidated net profit fell 5% year-on-year to Rs 715 crore in the quarter ended June, according to an exchange filing on Friday. Analysts tracked by Bloomberg had estimated the profit at Rs 797.2 crore.
The company reported an 11.5% rise in revenue at Rs 13,266 crore for the three months ended June, compared to Rs 11,897 crore for the same quarter in the previous financial year. Analysts polled by Bloomberg had estimated the net profit at Rs 12,642.7 crore.
Operating income—or earnings before interest, taxes, depreciation, and amortisation—rose 11% year-on-year to Rs 1,247 crore. The Ebitda margin expanded to 9.4% from 9.5% over the same period last year.
Shares of Titan fell as much as 4.21% to Rs 3,326.50 apiece on the NSE. It pared losses to trade 3.15% higher at Rs 3,353.15 apiece as of 9:43 a.m. This compares to a 1.87% decline in the NSE Nifty 50.
The stock has risen 17.57% in the last 12 months but has fallen 7.3% so far this year. Total traded volume so far in the day stood at 1.4 times its 30-day average. The relative strength index was 52.81.
Out of 31 analysts tracking the company, 16 maintain a 'buy', 10 suggest a 'hold', and five recommend 'sell' according to Bloomberg data. The average 12-month consensus price target implies an upside of 8.1%.
