Titan Company Ltd. expects its revenue to contract in the fourth quarter as the lockdown in March wiped off gains made by India's largest branded jewellery maker in the previous two months.
Sales from its jewellery segment, which accounts for 80 percent of its consolidated revenue, declined 5 percent year-on-year in the three months ended March, according to its exchange filing. While January and February saw a 16.5 percent growth, the Covid-19 outbreak impacted growth as the company kept its stores closed on March 22 and then from March 24 after the nationwide lockdown was announced to contain the spread of Covid-19 outbreak.
Diamond-studded sales did well on successful marketing initiatives until the new coronavirus disruption. It will prevent the company from achieving the double-digit growth forecast for the jewellery segment in the second half of 2019-20, it said.
- The watches and wearable segment that contributes nearly 17 percent of the overall revenue did see a marginal 1 percent rise in sales. That was aided by new products and online demand.
- Eyewear sales declined 20 percent in the quarter. Sales in this segment were flat in January and February and contracted in March.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
