Titan Share Price Jumps After Q4 Profit Rise

Titan Co. saw its share price rise by over 4% following the announcement of its fourth-quarter results. On Thursday, the Tata group firm reported a 13% increase in its consolidated profit after tax, reaching Rs 871 crore for the March quarter. This growth was driven by robust sales, with the company previously posting a PAT of Rs 771 crore for the January-March period of FY24.

The company's revenue surged by 19.4%, amounting to Rs 14,916 crore, compared to Rs 12,494 crore in the same period last year. This figure exceeded Bloomberg's estimate of Rs 13,693 crore. Additionally, Titan's earnings before interest, taxes, depreciation, and amortisation rose by 29.1% to Rs 1,537 crore, surpassing the estimated Rs 1,354 crore. The company's margins expanded to 10.3%, up from 9.5%, and higher than the estimated 9.9%.

Net profit for the quarter increased by 13%, reaching Rs 871 crore, compared to Rs 771 crore in the previous year, and exceeding the estimated Rs 855 crore. Prior to the release of the quarterly results, Titan's shares settled 0.69% higher at Rs 3,363.45 apiece on the BSE, in contrast to a 0.51% decline in the benchmark Sensex.

Titan shares rose as much as 4.77% to Rs 3,530 apiece. They pared gains to trade 3.97% higher at Rs 3,503 apiece, as of 09:50 a.m. This compares to a 0.92% decline in the NSE Nifty 50.

The stock has risen 7.93% in the last 12 months. Total traded volume so far in the day stood at 7.8 times its 30-day average. The relative strength index was at 71.

Out of 35 analysts tracking the company, 23 maintain a 'buy' rating, seven recommend a 'hold' and five suggest 'sell', according to Bloomberg data. The average 12-month analysts' consensus price target implies an upside of 5.8%.