Titan Company hit a record high today at Rs.616.15, up over 10% and continues to remain very strongly in the green, currently up 10.5% at Rs.610 levels.
The stock is riding high on its very good performance for Q1FY18. Driven by Akshaya Tritiya and pre-GST buying the company reported a superb 105% (YoY) jump in net profit at Rs.238 crore on a 42% increase in sales at Rs.3308 crore. It was the jewellery segment which drove the numbers, with the company capitalizing fully well on its retail and distribution network. On the other hand, the other two divisions – eye wear and watches reported very flat earnings.
EBITDA rose from Rs.285 crore to Rs.388 crore but margins contracted from 10.4% to 9.9%.
Following this superlative performance, brokerage houses have given it a big thumbs up. Nomura, IDFC, Goldman and Edelweiss have all put out their reports following this performance and this is driving up the stock price.