Motilal Oswal: Titan Posts In-Line Q1 Results; Recovery Path Getting Gradually Clearer

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.Titan Company Ltd.’s Q1 FY21 results were broadly in line with estimates. Gold volumes declined by 81% during the quarter.However, decent recovery was seen in June 2020 with Tanishq’s like-to-like growth declining 18% YoY.The recovery prospects in the jewellery segment (over 80% of sales) appear brighter with good demand in July 2020 (101% of sales in July 2019, albeit aided by weak base and significant activation in July 2020) and first week of August 2020 as well.However, recovery in watches and eyewear is tracking slower than jewellery. Another impact of ineffective hedges on margins in Q2 FY21 as well is expected.However, we believe there is a possibility that recovery in the jewellery business may take place in Q3 FY21, instead of Q4 FY21 as guided by management. However, given the volatile demand and Covid-19 environment, we prefer to be conservative and are assuming recovery in Q4 FY21..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Motilal Oswal: Titan Posts In-Line Q1 Results; Recovery Path Getting Gradually Clearer

Motilal Oswal: Titan Posts In-Line Q1 Results; Recovery Path Getting Gradually Clearer

Choose a plan