Mumbai: Titan company said its April to June quarter growth in jewellery segment was lower than planned due to high gold prices although gains in market share were sustained.
"The quarter witnessed a tough macro-economic environment with consumption being hit. Very high gold prices particularly in June also impacted growth in the jewellery industry," it said in a quarterly update.
Titan Company shareholders lost over Rs 15,000-crore in investor wealth in trade today with its market capitalisation falling to Rs 96,058 crore today compared to Rs 1,11,208 crore yesterday on BSE. The stock opened at a loss of 6.15% at 1,175 level compared to the previous close of 1,252.65 on BSE. The large cap stock touched an intraday low of Rs 1,088.05, down 13.14% in early trade today.
Jewellery segment revenue grew by a muted 13 per cent in Q1 FY19 as a sharp increase in gold prices dented consumer demand significantly in June. Wedding jewellery and studded group witnessed decent growth in the quarter. Sales on the auspicious occasion of Akshaya Tritiya were robust.
The company's watches division continued with good sales momentum with revenue growth of 19 per cent, partly aided by the execution of a large institutional order from Tata Consultancy Services (TCS). The eyewear division witnessed revenue growth of 13 per cent aided by the activation during the quarter. Trade channel grew faster than the overall division growth, said Titan -- a Tata enterprise.
