- 16 May 2022
- ICICI Securities
Titan Company building levers for sustainable growth
TITAN - 1899 Change: -42.75 (-2.20 %)News: We attended Titan’s analyst meet. Key highlights are; 1) Aspires to achieve 2.5x YoY growth for the jewellery division by FY27 (20% CAGR), 2) Targeting Rs. 10000 crore revenue (watches: Rs. 7000 crore, wearables: Rs. 3000 crore) by FY26 with an EBIT margin of 18%. 3) Plans for new emerging businesses such as ethnic wear and women bags to clock in sales worth Rs. 1000 crore each by FY27
Views: Titan is building sustainable growth levers for its core and new emerging businesses. In the past, despite headwinds company has delivered 23% PAT CAGR since the last five years. Capital efficient business model (30% RoCE) coupled with robust revenue growth (20%+) makes Titan our preferred pick in the consumer discretionary space
Impact: Positive